Answer:
The cost of goods sold for the year is $223,3700
Explanation:
The formula to compute the cost of good sold is shown below:
= Beginning balance of finished good inventory + cost of goods manufactured - ending balance of finished good inventory
= $150,000 + $2,273,700 - $190,000
= $223,3700
Beginning balance of finished good inventory + cost of goods manufactured is called goods that are available for sale
Final answer:
Swifty Corporation's cost of goods sold for the year 2017 is calculated by adding the beginning finished goods inventory to the cost of goods manufactured and then subtracting the ending finished goods inventory. The COGS for 2017 is thus $2,233,700.
Explanation:
The student has asked how to calculate the cost of goods sold (COGS) for Swifty Corporation for the year 2017 based on the provided accounting records and financial data. To calculate the cost of goods sold, we use the following formula:
Beginning Finished Goods Inventory
Plus: Cost of Goods Manufactured
Less: Ending Finished Goods Inventory
To apply this formula, we use the following numbers from the question:
Beginning Finished Goods Inventory (Dec. 31, 2016): $150,000
Cost of Goods Manufactured for 2017: $2,273,700
Ending Finished Goods Inventory (Dec. 31, 2017): $190,000
We then calculate COGS as follows:
$150,000 + $2,273,700 - $190,000 = $2,233,700
Therefore, Swifty Corporation's cost of goods sold for the year 2017 is $2,233,700.
If supply is unchanged, but demand increases, we can conclude that the new equilibrium:
a. Quantity must increase but market price may fall, stay the same or even increase.
b. Price must fall but market quantity may fall, stay the same or even increase.
c. Price must increase but market quantity may fall, stay the same or even increase.
d. Quantity must decrease but market price may fall, stay the same or even increase.
e. Both market quantity and market price must increase.
Answer:
The correct answer is option e.
Explanation:
The supply in the given example is assumed to be unchanged. Supply being constant an increase in demand will cause the demand curve to shift to the right. This rightward shift in the demand curve will intersect the supply curve at a higher point. This will cause an increase in the price as well as quantity of output in the market.
So, option e is the correct answer.
ABC Company's preferred stock pays a constant dividend of $2 per share in perpetuity (Zero Growth). If the required return is 8%, what price should you be willing to pay for the stock?
Answer:
Price per share of preference share = $25
Explanation:
Preference dividend is generally fixed, and does not change as there is a standard rate prescribed at the time of issue of preference shares.
Provided here is, dividend for preference shares = $2
Expected return each year = 8%
Expected growth = 0%
Thus, cost or price per share of preference stock = Dividend/Expected Return = $2/8% = $25 each share.
Suppose that the central bank has increased the money supply such that there is an additional $ 689645 in excess reserves. If the reserve ratio is 9.0 percent, what is the maximum increase in money supply? Round your answer to the nearest dollar.
Answer:
[tex]increase\ in\ money\ supply=\frac{1}{0.09}\times 689645=$7662722.22[/tex]
Explanation:
We have given required reserve ratio = 9 %
Excess reserve = $ 689645
We have to calculate increase in money supply
Increase in money supply is given by
[tex]increase\ in\ money\ supply=\frac{1}{required\ reserve\ ratio}\times excess\ reserve[/tex]
So [tex]increase\ in\ money\ supply=\frac{1}{0.09}\times 689645=$7662722.22[/tex]
What are dividend payments?
A) payments made to a company by investors for a share of the ownership of that company.
B) incremental increases in the value of the stock held by an investor due to rises in share price.
C) the difference between the original cost price of a share and the price an investor receives when that share is sold.
D) a share of the profits paid to each shareholder on the basis of the number of shares they hold.
Answer:
D) a share of the profits paid to each shareholder on the basis of the number of shares they hold.
Explanation:
Dividend: The dividend is distributed when the company is earning profits. If the company is suffering losses, then no dividend is declared. In this, the priority is given to the preference shareholders then equity shareholders.
After distributing the dividend to the shareholders, the balance would be transferred to the retained earnings which is come under shareholder equity in the balance sheet.
So, based on their holding shares, the dividend is paid to each shareholder.
A project team member is talking to another team member and complaining that many people are asking him to do things. If he works in a functional organization, who has the power to give direction to the team member?A. The project manager
B. The functional manager
C. The team
D. The PMO
Answer:
B. The functional manager
Explanation:
According to my research on organization roles and responsibilities, I can say that based on the information provided within the question the role that has the power to give direction to the team member is the functional manager. This role is the team members's boss and probably also the project managers's boss, therefore it gives them directions.
I hope this answered your question. If you have any more questions feel free to ask away at Brainly.
In a functional organization, the functional manager has the power to give direction to the team member.
Explanation:In a functional organization, the functional manager has the power to give direction to the team member. In this type of organization, employees are grouped based on their specialized skills or functions, and the functional managers are responsible for overseeing these teams. So, if the project team member is facing multiple requests, it is the functional manager who can provide guidance and assign tasks.
Learn more about Functional organization here:https://brainly.com/question/14154438
#SPJ3
A firm has actual sales in November of $1,000 and projected sales in December and January of $3,000 and $4,000, respectively. The firm makes 10 percent of its sales for cash, collects 40 percent of its sales one month following the sale, and collects the balance two months following the sale. The firm's total expected cash receipts in January is ________.
a. are $700b. are $2,100c. are $1,900d. cannot be determined with the information provided
Answer:
b. 2,100
Explanation:
On January will be collected: a) 10% January´s sales because is collected in cash; b) 40% December´s sales because is collected one month following the sale, and 50% November sales because the balance is collected two months following the sale.
So we can calcula like follows:
Expected cash receipts in January = (4,000 * 0.10) + (3,000 * 0.40) + (1,000 * 0.50)
Expected cash receipts in January = 400 + 1,200 + 500
Expected cash receipts in January = 2,100
To calculate the firm's total expected cash receipts in January, we need to determine the amounts collected for cash sales, one-month following sales, and two-months following sales.
Explanation:To calculate the firm's total expected cash receipts in January, we need to determine the amounts collected for cash sales, one-month following sales, and two-months following sales. Given that the firm makes 10% of its sales in cash, we can calculate this as $1,000 * 0.10 = $100. For the one-month following sales, we can calculate this as $3,000 * 0.40 = $1,200. And for the two-months following sales, this would be the remaining balance, which is $3,000 - $1,200 - $100 = $1,700. Therefore, the firm's total expected cash receipts in January is $1,100 + $1,200 + $1,700 = $3,000.
Learn more about Total expected cash receipts here:https://brainly.com/question/12965891
#SPJ3
Mayer Inc an advertising firm, has a horizontal structure with simple rules and procedures. It achieves targets by having personal means of coordination. The firm values the existence of informal groups and does not believe in division of labor. Which of the following designs is being used by Mayer Inc.?A. OrganicB. CentralizedC. BureaucraticD. FormalE. Authoritative
Answer:
The answer is A) Organic structure
Explanation:
An organic organizational structure can be described as:
very flexibleextremely flat reporting structure (horizontal), few layers of management a manager usually controls a large number of employees, not much direct supervisionrelies on employees having high interdependence (work as a team)adapts well to changesThe top management of Mayer Inc. probably chose an organic organizational structure in order to foster creativity and team work.
Crest toothpaste targets different consumer _____ by offering different types of toothpaste for smokers than it does for children based on their differing needs and wants.- fragments- geographics- modules- exchanges- segments
Answer:
segments
Explanation:
According to my research on different business strategies, I can say that based on the information provided within the question the term being mentioned is called consumer segments. This term refers to the practice of dividing a customer base into different groups depending on specific aspects such as age, gender, interests, and habits.
I hope this answered your question. If you have any more questions feel free to ask away at Brainly.
Answer:
Segments
Explanation:
Crest toothpaste targets different consumer segments by offering different types of toothpaste for smokers than it does for children based on their differing needs and wants.
Blake and Matthew are partners who agree that Blake will receive a $100,000 salary allowance and that any remaining income or loss will be shared equally. If Matthew’s capital account is credited for $2,000 as his share of the net income in a given period, how much net income did the partnership earn in that period?
Final answer:
The total net income earned by the partnership is $204,000. This was calculated by considering Blake's $100,000 salary allowance and the equal division of the remaining $4,000, of which Matthew's $2,000 share is a part.
Explanation:
To determine the total net income earned by the partnership in the given period when Blake will receive a $100,000 salary allowance and the remaining income or loss is shared equally between Blake and Matthew, we can set up a simple equation based on the information provided.
If Matthew's capital account is credited for $2,000 as his share, it means that after paying Blake's salary allowance, the remaining income is $4,000, since the remaining income is shared equally. Therefore, the total remaining income after Blake's salary is $100,000 (Blake's share) + $4,000 (divided between Blake and Matthew) = $104,000.
The total net income for the period is hence the sum of Blake's salary allowance and the remaining income, which is $100,000 + $104,000 = $204,000.
The net income earned by the partnership in that period is 104,000.
To determine the total net income earned by the partnership, we need to calculate the combined income shared equally by Blake and Matthew.
Given information:
- Blake receives a $100,000 salary allowance.
- Any remaining income or loss is shared equally between Blake and Matthew.
- Matthew's capital account is credited for $2,000 as his share of the net income.
Let X denote the total net income of the partnership.
Blake's share of the income after his salary allowance is:
X - 100,000
This remaining income is shared equally between Blake and Matthew. Therefore, Matthew's share is:
[tex]\frac{X - 100,000}{2}[/tex]
According to the problem, Matthew's capital account is credited with $2,000. This represents Matthew's share of the net income. So, we have:
[tex]\frac{X - 100,000}{2} = 2,000[/tex]
To find X , multiply both sides by 2:
X - 100,000 = 4,000
Now, solve for X :
X = 4,000 + 100,000
X = 104,000
Therefore, the net income earned by the partnership in that period is 104,000.
If you are stopped by a police officer for driving without having all passengers under the age of 18 properly restraint, you can receive a citation and receive __________ on your driving record.A)5 points B)2 points C)4 points D)3 points
Answer:
D)3 points
Explanation:
When children are involved, seatbelt tickets may mean points.
You won't typically get points if cited for failing to wear your seatbelt, but in New York, if you are ticketed for having a child in the car under age 16 without a seatbelt, the violation adds 3 points to your driving record. A seatbelt ticket will raise your rates by an average of three percent
Johnson has his property listed with ABC Realty. On November 1, a fire causes considerable damage to the property. On November 15, Johnson rescinds the listing. On November 30, the broker was deemed by a judge to be incompetent. December 30 was the listing contract expiration date. On which date was the listing terminated?
Answer:
On November 1, the listing was terminated
Explanation:
According to the given n situation, the listing was terminated on November 1 because due to fire, it causes considerable damage to the property. As the property is damaged, so automatically the listing was canceled and terminated.
The date of rescinds the listing, the expiration date, and, the date at which the broker is incompetence is not relevant.
Statements of Financial Accounting Concepts issued by the FASB Identify the conceptual framework within which accounting standards are developed. Have been superseded by SFASs. Are subject to approval of the SEC. Represent GAAP.
Answer:
The correct answer is Identify the conceptual framework within which accounting standards are developed.
Explanation:
The Financial Management Concepts Statement is a document issued by the Financial Accounting Standards Board (FASB) that covers general concepts of financial information. FASB is the organization that establishes the accounting standards and guidelines that make up GAAP. The purpose of the SFAC document is to provide an overview of accounting concepts, definitions and ideas. It is considered a prelude to the Financial Accounting Standards Statement (SFAS).
The following passage would be appropriate for a document aimed at a multicultural audience: Two companies found themselves in the financial equivalent of sudden-death overtime. The first to raise the necessary capital would be the one to survive. True or false?
Answer:
True
Explanation:
Sufficient capital and proper investment in different projects helps the companies and organisations to survive in this tough market.
Now the companies that have found themselves in a critical financial situations which is equivalent to sudden-death overtime is very likely to shut down or close if sufficient capital is not generated.
People can make investment or can also buy shares to make the company survive. Thus the company that will be the first to raise certain money or make some necessary capital will be the first to survive in this market.
Thus the answer is true.
"In the late summer of 2005 some regions of the country were suffering from drought. What effect would we expect this to have on the stock of companies such as John Deere that manufacture farm equipment?
Answer:
The answer is: You would expect a lower stock price.
Explanation:
Since John Deere´s main business is manufacturing and selling farming equipment you would expect its sales to rise when farmers are having a successful business year. But when farmers are having a very harsh and bad economic year then you would also expect John Deere´s sales to fall.
If your clients are suffering from a drought that means they will probably lose money or in a best case scenario earn a smaller profit. So they will have less money to invest in new equipment which results in lower sales for companies like John Deere. If John Deere´s sales are lower, they themselves will have a bad economic year so it is logical to assume that their stock price will fall.
You are the manager of the public transit system. You are informed that the system faces a deficit, but you cannot cut service, which means you cannot cut costs. Your only hope is to increase revenue by increasing fares. You are advised that the estimated price elasticity of demand for the first few months after a price change is about −0.3. Select the statement that best describes the results of raising the fare in the short run.a. Total revenue falls, since demand changes and becomes price inelastic. b. Total revenue will rise incrementally as the demand fuctuates and price moves back and forth between being elastic and inelastic. c. Total revenue rises immedately after the fare increase, since demand over the immediate period is price Inelastic.
Answer:
Total revenue rises immedately after the fare increase, since demand over the immediate period is price Inelastic.
Explanation:
Elasticity in the price demand measures the porcentage in the change of the quantity demanded as a response to a change in the price. If the elasticity is more than 0 but less than 1 it means that the price demand is inelastic. So when the price is rised the quantity demand will decrease in a minor porcentage than the rise in the price so it will represent a bigger revenue.
Which of the following terms accurately describes functional strategies that are properly aligned, traceable to the business strategy, and require coordination among multiple functional areas? a. agile strategies
b. supply chain strategies
c. traceable strategies
d. cross-functional strategies. cross-functional strategies.
Answer:
d. cross-functional strategies
Explanation:
In an organisation, for the proper running of all the departments or functions, proper communications and coordination is required. So implementing the cross-functional strategies can succeed when all the functional areas of the organisation are properly coordinated with each other. And by implementing these strategies we can trace out the business strategy with supporting of all functional areas. These are useful to place all functional strategies properly.
Thus the answer is d. cross-functional strategies.
According to the SCOR model, supply chain management covers five broad areas including __________, which include everything from entering customer orders and determining delivery dates to storing and moving goods to the final destination.
Answer:
The answer is: Deliver
Explanation:
The Supply Chain Operations Reference model (SCOR-model) has been endorsed by the Supply Chain Council as the cross-industry standard diagnostic tool for supply chain management. Its a process that helps address, communicate and improve supply chain decisions both within a company and with its supplies and customers. It describes the processes required to satisfy customers’ demands.
It is based on five management processes:
Plan, Source, Make, Deliver: includes order management (receiving orders from customers and invoicing them), warehousing (management of finished inventories, assets, product life cycles) and transportation (management of transportation, importing and exporting requirements)Return.Presented below are selected account balances for Homer Winslow Co. as of December 31, 2014.Inventory 12/31/14 $60,180 Cost of Goods Sold $225,870Common Stock 75,870 Selling Expenses 17,400Retained Earnings 48,850 Administrative Expenses 39,150Dividends 19,080 Income Tax Expense 30,180Sales Returns and Allowances 13,650 Sales Discounts 15,290 Sales Revenue 411,940 Prepare closing entries for Homer Winslow Co. on December 31, 2014. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter 0 for the amounts.)
Answer:
Explanation:
The closing entry for the following accounts are shown below:
1. Sales Revenue A/c Dr $411,940
To Income Summary $411,940
(Being revenue account closed)
2. Income summary A/c Dr $341,540
To Cost of Goods Sold $225,870
To Sales Returns and Allowances $13,650
To Sales Discounts $15,290
To Selling Expenses $17,400
To Administrative Expenses $39,150
To Income Tax Expense $30,180
(Being expenses accounts are closed)
3. Income summary A/c Dr $70,400 ( $411,940 - $225,870)
To Retained earning $70,400
(Being the difference is credited to retained earning)
4. Retained earnings A/c Dr $19,080
To Dividend A/c $19,080
(Being dividend account is closed)
Stockholder’s equity is divided into which two parts?
a) cash and inventories
b) long-term investments and short-term liabilities
c) common stock and retained earnings
d) intangible assets and plant, property, and equipment
Answer: Option C
Explanation: In simple words, the amount of assets that remain in the hands of the company after all the liabilities and obligations are met is called the stockholders equity. It is the amount of funds in the company on which the owners have their right.
The stockholders equity is divided into two parts, common stock and retained earnings. Common stock is the amount of shares of the company that are owned by the individuals. Retained earnings refers to the amount of profit left with the company after paying all dividends and interest.
Christina is an economist who believes that shifts in aggregate demand cause both a change in real output and the price level. She believes that an economic recession will not necessarily self-correct in the long run, and therefore she believes that active fiscal and monetary policy is justified to smooth out the business cycle. Christina is best described as a _____.
A.classical economist.B.Keynesian economist.C.supply-side economist.D.monetarist.E.rational expectations economist.
Answer:
B.Keynesian economist
Explanation:
Keynesian economist -
It was developed in 1930s by John Maynard Keynes , a British economist .
It is the theory of the total spending in the economy and its effect on inflation and output .
It is a demand - side theory which focus on the changes in the economy on short run .
Hence , Christina is best described as a Keynesian economist .
Several years ago, O’Leary’s Manufacturing purchased a new machine with an 8-year expected life for $68,400. On its current balance sheet, O’Leary’s lists accumulated depreciation on the machine at $51,300. Based on this, how much has the company expensed over the life of the asset? A : $51,300 B : $8,550 C : $17,100 D : $68,400
Answer:
Based on this, how much has the company expensed over the life of the asset? A : $51,300
Explanation:
Cost Annual Dep. Accum. Expense Accum. Depre
Year 1 68400 8550 8550
Year 2 8550 17100
Year 3 8550 25650
Year 4 8550 34200
Year 5 8550 42750
Year 6 8550 51300
Answer:
A) 51,300
Explanation:
Accumulated depreciation represents how much O’Leary’s Manufacturing has recorded over the years up to the current accountable period in expense. This is because on every accountable period the expense (Depreciation) is accumulated in this contra-asset account.
In 2014, Wire Corp. had sales of $740,000. Cost of goods sold, administrative and selling expenses, and depreciation expenses were $550,000, $90,000, and $95,000, respectively. In addition, the company had an interest expense of $94,000 and a tax rate of 35 percent. (Ignore any tax loss carryback or carryforward provisions.)
What is the company's operating cash flow?
Answer:
The company's operating cash flow is $100,000
Explanation:
The computation of the operating cash flow is shown below:
= EBIT + Depreciation - Income tax expense
where,
EBIT = Sales - cost of good sold - depreciation expense - administrative and selling expenses
= $740,000 - $550,000 - $95,000 - $90,000
= $5,000
The income tax expense equals to
= (Sales - cost of good sold - depreciation expense - administrative and selling expenses - interest rate) × tax rate
= ( $740,000 - $550,000 - $95,000 - $90,000 - $94,000) × 35%
The amount comes in negative so we cannot compute the tax expense as corporation is suffering from the net loss
And all other items would remain same
Now put these values to the above formula
So, the value would equal to
= $5,000 + $95,000 - $0
= $100,000
Like many consumer products manufacturers, Frito-Lay gives its resellers discounts to encourage them to carry and promote its products. When doing so, Frito-Lay uses a(n) _______ strategy.
Answer:
The correct answer is "push strategy"
Explanation:
The term push strategy or push promotional strategy refers to create or increase the customer demand of a good or services, through promotions or discounts that applied to the resellers and retailers, to promote his products and maintain a reputation on the markets.
Donna manages the service desk and makes routine decisions related to customer refunds and merchandise returns. Donna also oversees the daily tasks of the cashiers and front desk employees. Donna is a(n) ________ manager.
Answer:
First-Line
Explanation:
According to my research on roles and responsibilities within a business, I can say that based on the information provided within the question Donna is a First-Line manager. This is the management role right above non-managerial floor employees. First-Line managers are responsible supervising the employees, fixing work hour schedules, and solving customer problems that the employees cannot handle.
I hope this answered your question. If you have any more questions feel free to ask away at Brainly.
The VP of Customer Experience at an international hotel chain is constantly looking for ways to improve customer service, whether it be at check-in, room service, concierge services, check-out, etc. This is important because customers generally evaluate companies and brands based on _________
Answer:
The correct answer is Points of interaction.
Explanation:
The term touchpoint refers to all the points of contact between the client and a brand “that imply an interaction with a human need, at a specific time and place” (Risdon, 2013).
If there is an interaction then there is also an exchange of value between the individual and the organization. And professionals in Customer Experience have to understand what kind of value flows. We must ensure that the perceived value is greater than the cost.
On the other hand, the fact that an interaction occurs before a specific human need tells us that we must know what drives it. The need is what marks the nature of the interaction. In other words, the design of an experience changes radically depending on the needs involved.
Companies and brands are often evaluated by customers based on their reputation. Good reputation, often built through positive customer experience and recommendations, allows businesses to charge higher prices for assured quality. An example of this is a well-established grocery store versus a temporary stand at a farmer's market.
Explanation:The customers generally evaluate companies and brands based on their reputation. Establishing a good reputation is of paramount importance as it contributes significantly to customer confidence in the company's products or services, and it may even allow the company to charge a higher price due to the assured quality.
For example, consider a well-established grocery store with a good reputation. This store can often charge a higher price than a temporary stand at a local farmer's market where the buyer may never see the seller again. The reliable quality and service associated with the reputation of the well-established grocery store justify the price difference for most customers.
It's important to note that a company's reputation is often built through repeat customers and their recommendations, which are directly influenced by the customer experience.
Learn more about Reputation here:https://brainly.com/question/32755232
#SPJ3
Regan grows flowers and makes ceramic vases. Jayson also grows flowers and makes ceramic vases. Regan can produce 3 times as many vases in a day as Jayson, and Regan can grow twice as many flowers in a month as Jayson. Who would gain from trade between Regan and Jayson?
Answer:
Both would gain
Explanation:
Regan and Jayson are two people who are in the same business or trades. They both grows flowers and make ceramic vases.
But Regan is better in producing both the items. Regan produces ceramic vases 3 times in a day as many vases Jayson produces and can grow twice as many flowers as Jayson in a month.
Now both Regan and Jayson can do the business and benefit if they try to focus on the comparative advantage of the market.
Hence both Regan and Jayson will gain from the trade.
Answer:
B
Explanation:
its the only obviose answer
In the Sweet Action! supply chain, the flowers produce the nectar which is collected by the bees. The busy bees take this nectar and produce honey, which is collected by the beekeeper, who puts it in quart jars and supplies it to the baker. The baker produces a lovely array of confections, which are purchased by the local restaurant. The restaurant sells these confections to their loyal diners, who gleefully consume them and nag the chef for his recipe. Which of these statements about this supply chain is best?
A) The busy bees are a first-tier supplier of the local restaurant.
B) The beekeeper is a first-tier supplier of the local restaurant.
C) The baker is a first-tier supplier of the local restaurant.
D) The local restaurant is a first-tier supplier of the loyal diners.
Answer:
B) The beekeeper is a first-tier supplier of the local restaurant.
Explanation:
The first-tier supplier is one that provides parts and materials directly to a manufacturer of goods. In this case the beekeeper is the first-tier supplier and he supplies the honey in quart jars to the baker who makes the confections.
Final answer:
The baker is a first-tier supplier of the local restaurant in the Sweet Action! supply chain, providing confections directly to the restaurant. The correct option is: C) The baker is a first-tier supplier of the local restaurant.
Explanation:
In Sweet Action!'s supply chain, the correct option reflecting the relationship between the players in the chain is that C) The baker is a first-tier supplier of the local restaurant. In the supply chain, the flowers provide nectar collected by bees, which is then converted into honey by the beekeeper, and finally turned into confections by the baker. The local restaurant purchases these confections from the baker to offer them to their customers. Hence, the baker is directly supplying to the restaurant, making them a first-tier supplier.
Moreover, the beekeeper would be considered a second-tier supplier since their product, honey, is being used by the baker who then directly supplies to the restaurant. Similarly, the bees would be third-tier as they supply raw materials (nectar-turned-honey) to the beekeeper.
By how much must a firm reduce its assets in order to improve ROA from 10% to 12% if the firm's operating profit margin is 5% on sales of $4 million? Assume that the reduction in assets has no effect on sales or profit margin
Answer:
ROA= 10% TA = 2.000.000
ROA=12% TA = 1.666.667
Reducction in assets 333.333
Explanation:
ROA=Net income/Average Total Assets
ROA = (net income / sales) x (sales / Total Assets)
ROA = Margin x Average total assets
10%=5%X(4000000/TA) 2,0 = 4000000/TA
12%=5%X(4000000/TA) 2,4 = 4000000/TA
ROA= 10% TA = 2.000.000
ROA=12% TA = 1.666.667
Final answer:
To improve ROA from 10% to 12%, the firm must reduce its assets by $333,333, assuming the reduction in assets has no effect on sales or profit margin.
Explanation:
To improve ROA (Return on Assets) from 10% to 12%, we need to first calculate the firm's net income and total assets before reduction. Given the firm's operating profit margin is 5% on sales of $4 million, the operating profit (=em profit margin × sales) equals $200,000 (=0.05 × $4,000,000). To achieve a 10% ROA, the total assets would be $2,000,000 (=$200,000/0.10), because ROA is calculated as net income divided by total assets.
To improve the ROA to 12%, with the same net income of $200,000, the new total assets would need to be $1,666,667 (=$200,000/0.12). Therefore, to improve the ROA to 12%, the firm must reduce its assets by $333,333 (=$2,000,000 - $1,666,667).
Luka, who owns a small breakfast and salad bar, has a reputation in the community as a tough manager. Many customers have heard Luka yell at his employees because he feels that workers today are lazy, lack ambition, and hate to work. Luka is a(n) ____ manager.
Luka is an authoritarian manager known for closely supervising and controlling employees through directives and disciplinary actions.
Luka, described in the scenario, can be characterized as a traditional or authoritarian manager. This type of management style is evident when a manager believes their employees are inherently unmotivated and thus must be supervised closely and controlled through directives and disciplinary actions.
The described behavior, such as yelling at employees and having a negative view of their work ethic, suggests Luka operates under the assumption that employees need to be pushed to perform their duties.
While this may ensure immediate compliance, it typically does not foster a positive work environment, could lead to high employee turnover, and might adversely affect customer perceptions of the business.
The Model for Improvement begins with three questions designed to clarify the following concepts: (A) Plan, do, act (B) Mission, goal, strategy (C) Aims, measures, changes (D) Will, ideas, and execution
Answer:
The correct answer is C.
Explanation:
The Improvement Model is mainly based on three fundamental questions about any type of improvement that is sought. These questions pursue the following topics: address the aim, achieving understanding that it is to achieve, the measures to use, both to implement and to know if the change will represent a real improvement, and finally the changes to use to result in an improvement.
Have a nice day!