Answer:
(A) $425,000
(B) $24,350
Explanation:
(a) Average Operating Assets:
= (Beginning Operating Assets + Ending Operating Assets) ÷ 2
= ($390,000 + $460,000) ÷ 2
= $425,000
Therefore, the average operating assets is $425,000.
(b) Residual Income:
= Operating Income - (Minimum Rate of Return × Average Operating Assets)
= $66,850 - (10% × $425,000)
= $66,850 - $42,500
= $24,350
Answer:
The range consistent with both sets would be $34.00 to $37.40. This includes the smallest value that is within both the P/E and EV/EBITDA ranges ($34) and the highest value within both ranges ($37.40)
An unfavorable materials quantity variance indicates that the actual usage of materials exceeds the standard material allowed for output.
<h3>What do you mean by material quantity variance?</h3>
The material quantity variance refers to the difference between the standard amount and the actual amount of materials used in the production process.
The material quantity variance yield unusual results as it is based on a standard unit quantity that is not even close to the actual usage.
Therefore, an unfavorable materials quantity variance indicates that the actual usage of materials exceeds the standard material allowed for output.
Learn more about Material Quantity variance here:
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Answer: B2B transactions involve transactions where the buyers and sellers are both businesses, while B2C involves transactions between businesses and consumers.
Explanation:
Business-to-business transactions are simply regarded as the transactions that takes place between one business and another business. This can occur when the business is looking for inputs for its production process.
Business-to-consumer transactions simply regarded as the transactions that takes place between a business and the customers. This occurs when a business sells its goods or services to the customers directly without the goods passing through the middlemen.
Answer: Behavior
Explanation: Consumer Behaviour is the way consumers respond to the purchase of a certain products and services, consumer behaviour is affected by various factors such as PRICE, QUALITY, QUANTITY,INCOME etc.
Certain consumers have specific interest in certain products or services, due to brand loyalty which has emanated from the consistent quality and other product features which they have enjoyed in such products.
