Answer:
Barber's Return on Equity (ROE) is 1.28%
Explanation:
The formula to compute the ROE of Barber is:
ROE = Net Income / Shareholder's Equity
= $250,000 / $195,000
= 1.28%
It is a measure of the profitability ratio which evaluates the firm ability for generating profits from investment of shareholders.
Working Note:
Shareholder Equity of Barber = Beginning capital - Withdrew amount
= $285,000 - $90,000
= $195,000
Barber's return on equity for the year is 30.48%.
Barber's initial equity was $285,000. The net income is shared equally, therefore Barber will receive 50% or $125,000 ($250,000 × 0.5) of the net income. Despite the withdrawals which don't affect equity, Barber's equity at the end of the year is hence $285,000 + $125,000 = $410,000.
The return on equity (ROE) is calculated by the profit (net income) divided by the equity. Therefore, Barber's ROE is $125,000 / $410,000 = 0.3048 or 30.48% when expressed as a percentage. Hence, Barber's return on equity for the year is 30.48%.
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Answer: Harvey company will record the equipment at $14,700 is its books.
We usually record equipment at the actual price at which it was bought. Even though Harry company was willing to pay only $13,000, it actually went ahead and paid $14,700 to purchase the equipment.
We don’t consider the retail price here, since Harvey company did not buy the equipment from the retail market.
In the advertisement, Carrey Company probably put a value of $19,000 (by considering the retail rate) to see the market response to buy the at that price. So, we don’t consider that either.
Answer:
The correct answer is c) Antitrust law. Antitrust laws are in place to prevent unfair competition practices and maintain a level playing field in the market. These laws aim to prevent monopolies, regulate mergers and acquisitions, and prohibit anti-competitive behavior such as price fixing and collusion. By enforcing antitrust laws, authorities ensure that consumers have access to a competitive marketplace and that businesses compete fairly.
Answer:
$75
Explanation:
Given that
Sale value of merchandise = $1,500
Commission received = 5% of total sales
By considering the above information
The commission received would be
= Sale value of merchandise × received commission percentage
= $1,500 × 5%
= $75
Since the commission is based on the sale value of merchandise, so we take the same to find out the actual value.
The salesperson would receive a commission of $75.00, which is calculated by multiplying the total sales of $1,500.00 by the commission rate of 5%, converted to a decimal (0.05).
To find the commission received by a salesperson, you first need to convert the commission rate from a percentage to a decimal. In this case, the commission rate of 5% would be converted to 0.05. Next, multiply the total sales amount by the decimal commission rate. So, for this scenario:
Total Sales = $1,500.00
Commission Rate (in decimal) = 0.05
Now, calculate the commission:
Commission = Total Sales × Commission Rate
Commission = $1,500.00 × 0.05
Commission = $75.00
Thus, the salesperson's commission would be $75.00.
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Answer:
Key Risk Indicators (KRIs) are:
a. **Indicators of internal control quality**: Partially true. KRIs are used to measure the potential risk and thus can indicate the effectiveness of internal controls. However, they are not direct measures of control quality.
b. **Substantively equivalent to KPIs**: False. While both KRIs and Key Performance Indicators (KPIs) are important business metrics, they serve different purposes. KPIs measure performance towards goals, while KRIs measure potential risks that could prevent reaching those goals.
c. **Predictive and usually quantitative**: True. KRIs are typically quantitative metrics that can help predict potential risks.
d. **Used primarily by risk-aware, risk-averse entities**: True. Organizations that are aware of potential risks and want to mitigate them often use KRIs to monitor risk levels.
Please note that the exact use and definition of KRIs can vary depending on the organization and industry.
Explanation:
Key risk indicators (KRIs) are predictive and quantitative indicators used primarily by risk-aware, risk-averse entities to assess and monitor potential risks in a business or organization.
Key risk indicators (KRIs) are predictive and quantitative indicators used primarily by risk-aware, risk-averse entities to assess and monitor potential risks in a business or organization. They help in evaluating the effectiveness of risk management strategies and identifying areas of concern that may require attention.
KRIs are not indicators of internal control quality, as they focus on identifying potential risks rather than evaluating the quality of internal controls. They are also different from Key Performance Indicators (KPIs), which measure the performance and progress of a business in achieving its goals.
For example, in a financial institution, a KRI could be the percentage of loans in default, which indicates the potential risk of loan defaults and the need for risk mitigation measures. Another KRI could be the frequency of cybersecurity incidents, which helps assess the potential risk of data breaches and guides the implementation of appropriate security measures.
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B. The Leontief paradox
C. A positive-sum game
D. Samuelson's critique
E. A first-mover advantage
Answer:
The correct answer is letter "B": The Leontief paradox.
Explanation:
The Leontief paradox is the result of a research made by German economist Wassily Leontief (1906-1999) in the 1950s after which he observed that countries with large capital such as the U.S. were importing more capital-intensive products and exporting more labor-intensive goods.
The Leontief paradox opposed the Heckscher-Ohlin Theorem that stated large capital countries tend to export products they manufacture efficiently and import those they are not good at producing.
Answer:
The promotional mix is the part of marketing that describes advertising, PR, sales promotion and personal selling
Explanation: