Answer:
Simple rate of return = 17.7%
Explanation:
Simple rate of return = incremental operating income ÷ initial investment
Depreciation = $468,000 ÷ 6years = $78,000
incremental operating income = $161,000-$78,000 =$83,000
Simple rate of return = $83,000÷$468,000=17.7%
Answer:
The trade discount is the discount of 5% equivalent to $25,000
Explanation:
The question parameters are;
The cost of the car, c = $500,000
The amount the car's list price is discounted = 5%
The duration over which the payment for the car should be made to receive the discount = 1 year
Therefore, the trade discount is the 5% of the list price, which is equivalent to 5/100 × $500,000 = $25,000
A trade discount is a reduction of the retail price of a good which a wholesaler or manufacture of the good gives a trader, which may be a wholesaler or a retailer based on certain agreements, when a group of goods or a particular type of goods is purchased
Answer:
d. This is clearly a case of perceptual filters. There are many people in the theater watching a movie. Suppose a James Bond movie, shows James Bond using a Sony mobile hand set.
Explanation:
Audience in the theater, who wants to buy a new handset, will pay attention and notice the fact that James Bond is using a Sony hand set. But audiences, who do not need to buy a hand set will probably not notice the brand or the model. So, those who do not want to buy a new mobile set are using their perceptual filters by not noticing the brand.
