Answer:
A. The difference between the net income the analyst expects the firm to generate and the required earnings of the firm.
Explanation:
Residual income measures an organisation's internal corporate performance by looking at the difference between the income geneated by the firm and the required minimum returns. It can be described as the excess of generated income over required earnings for the firm.
For personal Income, residual income represents the income an individual has left after deducting all personal expenses and all debts.
Based on the question, therefore, residual income will be the excess amount after a company's analysts' deduct the required earnings of the company from what the company generates.
Answer:
ROE= 6%
Explanation:
Return on equity is the measure of a business profitability as related the owner's equity. It shows how well a company is making profits on shareholder funds.
Return on investment (ROE)= Profit Margin * Capital intensity ratio * Equity multiplier
To calculate the profit margin
Profit margin= Net income/Gross Income
Profit margin= 42,800/947,100
Profit margin= 0.045
Substitute in formula for ROE
ROE= 0.045* 0.87* 1.53
ROE= 0.06= 6%
Answer:
Cost-saving actions:
3. Actions to use only refurbished production equipment, actions to keeps supervisory costs to a bare minimum, and never spending any money on corporate social responsibility and citizenship
Explanation:
Competitive rivals will not glean the information about the use of production equipment, supervisory costs, and corporate social responsibility and citizenship from the Financial and Competitive Intelligence Reports. So, using refurbished production equipment will reduce costs provided the quality is not adversely affected. Supervisory costs can be minimized with target costing, and the amount on corporate social responsibility and citizenship is a management discretionary cost that can be eliminated, depending on prevail circumstances.
There will be a formal on-boarding process for all new employee so as to learn the structure and culture of the organization for a standardized process.
<h3>Why is the onboarding process is necessary for new employees?</h3>
"Onboarding processes is required in an organization so as to help the new employee to be able to be fully integrated into the organization.
This will help to prevent or get rid of complaints of the customer about employee not knowing the culture and way of doing things in the organization.
learn more about Onboarding at brainly.com/question/24448358
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Abc's efforts are an example of<u> "threats of substitute products or services" </u>in porter's model for industry analysis.
Porter’s threat of substitutes definition is the accessibility of an item that the purchaser can buy rather than the industry’s item. A substitute item is an item from another industry that offers comparative advantages to the shopper as the item created by the organizations inside the business. As indicated by Porter's 5 forces, threat of substitutes shapes the focused structure of an industry.