Answer:
a. complement
Explanation:
A product can be defined as any physical object or material that typically satisfy and meets the demands, needs or wants of customers. Some examples of a product are mobile phones, television, microphone, microwave oven, bread, pencil, freezer, beverages, soft drinks, etc.
In this scenario, Nintendo built a security chip into its game console hardware and then licensed the right to develop games to outside firms. Subsequently, royalties are then paid by the business firms to Nintendo for each copy of the game sold. Thus, this is an example of Nintendo using complement products.
A complementary product can be defined as any product that's typically used in conjunction with another product and as such it adds value to the other product.
Answer:
C) Andrews ROE will decrease.
Explanation:
This year Andrews achieved an ROE of 5.5%. Suppose management takes measures that decrease Asset turnover (Sales/Total Assets) next year. Assuming Sales, Profits, and financial leverage remain the same, what effect would you expect this action to have on Andrews's ROE? A) Andrews ROE will remain the same; B) Andrews ROE will increase; C) Andrews ROE will decrease.
Return on equity is an example of a profitability ratio.
Profitability ratios measure the ability of a firm to generate profits from its asset
Using the Dupont formula, ROE can be determined using :
ROE = Net profit margin x asset turnover x financial leverage
ROE = (Net income / Sales) x (Sales/Total Assets) x (total asset / common equity)
If net profit margin and financial leverage remain the same and asset turnover is reduced, ROE would reduce
Answer:
$6,989.25
Explanation:
The Lexington Property Development shall calculate the today's worth of note receivable, which is due in three years, using the following mentioned formula:
F=P(1+i)^n
F=Value of note receivable after three years=$10,000
P=Value of note receivable today=?
i=interest rate compounded monthly=12%/12=1%
n=Due period of note receivable=3*12=36 months
F=P(1+i)^n
$10,000=P(1+1%)^36
P=10,000/(1+1%)^36=$6,989.25
Answer:
35 cameras
Explanation:
Initial equipment cost = $175,000
life span = 5 years
salvage value = $25,000
processing cost per camera = $3000
M and O cost = $80,000
cost of contracting assembly operation externally = $6,750 per camera
MARR = 12% per year
<u>Determine the number of cameras per year to be assembled </u>
let number of camera = n
<em>we will make use of the relation below </em>
EUAC of make option = 175000*(A/P,12%,5) + 3000*n + 80000 - 25000*(A/F,12%,5)
= 175000 * 0.277410 + 3000*n + 80000 - 25000*0.157410
= 132482 + 3000 n
Hence the EUAC of the alternative
= 6750 * n
∴ 6750 n = 132482 + 3000 n
n = 132482 / 3750 = 35.33 ≈ 35 Alternative cameras must be assembled
Say if you got a house loan, the bank company is out around let's say 300,000, until you pay it back, the bank will have less money and will affect what the bank does with its money like...well we've given out 4,000 loans, we may have to consider not giving out many more until this one is payed off.