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luda_lava [24]
3 years ago
9

The expected average rate of return for a proposed investment of $650,000 in a fixed asset, with a useful life of 4 years, strai

ght-line depreciation, no residual value, and an expected total net income of $240,000 for the 4 years, is
a.18.5%
b.13.9%
c.36.9%
d.9.25%
Business
1 answer:
Degger [83]3 years ago
3 0

Answer:

18.5%

Explanation:

The formula to compute the average rate of return is shown below:

= Annual net income ÷ average investment

where,  

Annual net income equal to

= Expected total net income ÷ number of years

= $240,000 ÷ 4

= $60,000

And, the average investment would be

= (Initial investment + salvage value) ÷ 2

= ($650,000 + $0) ÷ 2

= $4650,000 ÷ 2

= $325,000

Now put these values to the above formula  

So, the rate would equal to

= $60,000 ÷ $325,000

= 18.5%

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Use the following information to determine the break-even point in units (rounded to the nearest whole unit):
denis23 [38]

Answer:

29,771 units

Explanation:

The break-even indicates the number of units that you have to sell to cover your costs. The break-even point is calculated by using the formula:

Break-even point in units= Fixed costs/(selling price per unit-variable cost per unit)

Break-even point in units= $195,000/($14.95-$8.40)

Break-even point in units= $195,000/$6.55

Break-even point in units= 29,771 units

The break-even point in units is 29,771.

4 0
3 years ago
The _____ ensures that employees would be able to receive at least some pension benefits at the time of termination.
Karolina [17]

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3 0
3 years ago
7.A shop makes all its sales for cash.
Elis [28]

Answer:

A.) CASH BOOK

Explanation:

7 0
3 years ago
Cash flow ________ be negative before debt and equity infusions and ________ be negative after them.
Eddi Din [679]

Cash flow can be negative before debt and equity injections and must not be negative afterward.

The income statement recognizes income and expenses when cash is incurred, not when cash is actually exchanged. A cash flow statement records cash inflows and outflows when they actually occur.

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Learn more about Cash flow at

brainly.com/question/735261

#SPJ4

7 0
1 year ago
Wesley works on an automobile assembly line. His job is to complete the final installation of the GPS for each automobile that i
Rasek [7]

Answer:

True

Explanation:

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8 0
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