The following is the daily return schedule for operating various businesses under bad, normal, and good weather.Type of BusinessReturn on InvestmentGood Weather Normal Weather(Probability = 0.25) (Probability = 0.5)12%10 %16%-8%12%12%6%O a. 6.44%O b. 6.44%OC 2.42%O d. 3.87%Oe. 7.14%8%Bad Weather(Probability-12%20 %-8%-4%0.25)Ice Cream ShopCoffee ShopBikini ShopCold Drinks ShopAkaldeep has a portfolio consisting of 14% in an Ice Cream Shop, 29% in a Coffee Shop, 14% in a Bikini Shop, and therest in a Cold Drinks Shop. Determine the expected overall return rate on his investments.3

The portfolio's expected return is calculated by the summation of their probabilities multiplied by…

Answered: The following is the daily return…

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter9: Responsibility Accounting And Decentralization

Section: Chapter Questions

Problem 5PB: Financial information for Lighthizer Trading Company for the fiscal year-ended September 30, 20xx,...

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question O C. Work in Progress Finished Product 48 Given the following data; TOTAL SALES OMR 250000 CASH SALES OMR 125000 SALES RETURN OMR 5000 OPENING SUNDRY DEBTORS OMR 20000 CLOSING SUNDRY DEBTORS OMR 10000 What will be the average debtors? ut of O a. OMR 15000 uestion O b. OMR 7500 O c. OMR 30000 O d. OMR 10000 pe here to search Pa lenovo
Financial information for Lighthizer Trading Company for the fiscal year-ended September 30, 20xx, was collected. As part of a management training session, you have been asked to prepare an income statement format that will be used to distribute to management. Subtotals and totals are included in the information, but you will need to calculate the values. A. In the correct format, prepare the income statement using this information: B. Calculate the profit margin, return on investment, and residual income. Assume an investment base of $42,000 and 8% cost of capital. C. Prepare a short response to accompany the income statement that explains why uncontrollable costs are included in the income statement.
Financial information for BDS Enterprises for the year-ended December 31, 20xx, was gathered from an accounting intern, who has asked for your guidance on how to prepare an income statement format that will be distributed to management. Subtotals and totals are included in the information, but you will need to calculate the values. A. In the correct format, prepare the income statement using the following information: B. Calculate the profit margin, return on investment, and residual income. Assume an investment base of $100,000 and 6% cost of capital. C. Prepare a short response to accompany the income statement that explains why uncontrollable costs are included in the income statement.
Profit Margin, Investment Turnover, and ROI Cash Company has income from operations of $49,896, invested assets of $198,000, and sales of $712,800. Use the DuPont formula to compute the return on investment. If required, round your answers to two decimal places. a. Profit margin fill in the blank 1% b. Investment turnover fill in the blank 2 c. Return on investment fill in the blank 3%
Supply the missing data for three service companies shown in the table below: Note: Loss amounts should be indicated by a minus sign. Round your percentage answers to nearest whole percent. Company B A C Sales Net operating income $ 9,120,000 $ 7,200,000 $ 4,680,000 $ 290,000 Average operating assets $ 3,040,000 $ 1,872,000 Return on investment (ROI) 11 % 20 % % Minimum required rate of return. Percentage Dollar amount Residual income 9% % 13 % $ 261,000 $ 93,600
base on the image provided answer the following a. What is the overall performance of the company in the next five (5) years? Justify your answer. b. At what year will the forecasted total operating expenses exceed the standard? Give at least two(2) possible reasons behind it.
What does the terminal value of a business represent? Group of answer choices It is the value of a business from the present until it goes out of business. It is the value of the last year of its planned period of operations. It is the value from the end of the specific forecast period until a business is sold or otherwise terminated. It is the value of the business during its entire functional life discounted to the present. Previous
Explaining why companies use performance evaluation systems Financial performance is measured in many ways. Requirements 1. Explain the difference between lag and lead indicators. 2. The following is a list of financial measures. Indicate whether each is a lag or a lead indicator: a. Income statement shows net income of $100,000 b. Listing of next week’s orders of $50,000 c. Trend showing that average hits on the redesigned Web site are increasing at 5% per week d. Price sheet from vendor reflecting that cost per pound of sugar for the next month is $2 e. Contract signed last month with large retail store that guarantees a minimum shelf space for Grandpa’s Overloaded Chocolate Cookies for the next year
Consider the following information for a given business. Sale revenue =GHS40,000 VC per unit =GHS20 Activity level =1,000 to break even Required: 1. Determine the TFC 2. Express the contribution as a percentage of sale. 3. The company plans to sale 1,500 unit in the next period. What will be the percentage margin of safety (MoS) 4. What margin should the business employ for planning purposes? 5. What total profit should the business expect in order to achieve it's planned sales?
You have been presented with the following information : Customer Perspective Targets $ 10 mil Actual Performance $6.5 mil a. Total Sales b. No. of Stock Returns 10 20 Internal Business Perspective Actual Performance $50k Targets a. Maintenance Costs $200k b. No of Workers (production) 30 15 Financial Perspective Actual Performance $1mil Targets a. Net Profit $4mil b. Asset Turnover ratio 15 times 20 times Innovation & Growth Perspective Targets $100k Actual Performance $20k a. Training Costs b. No of Staff (Marketing) 20 12 Other information obtained are customers are frequently complaining and cancelling orders and machines breakdowns. Required : i) Comment on the performance.
The income statement comparison for Rush Delivery Company shows the income statement for the current and prior year. A. Determine the operating income (loss) (dollars) for each year. B. Determine the operating income (percentage) for each year. C. The company made a strategic decision to invest in additional assets in the current year. These amounts are provided. Using the total assets amounts as the investment base, calculate the ROI. Was the decision to invest additional assets in the company successful? Explain. D. Assuming an 8% cost of capital, calculate the RI for each year. Explain how this compares to your findings in part C.
Additional Activities Now that you have learned how to forecast revenues and cost of the business, investigate how these concepts are being applied by existing businesses in your community. Using the table below, fill in the necessary information based on your investigation. Daily Revenue and Cost Name of Business: Projected Projected Volume Revenue Projected Cost Mark-up Selling (D) (E) Costs of per Unit Price Average Merchandisel Purchases (A) (B) (C) No. of Products (Daily) (Daily) Items Sold (Daily) (B)= (A x C =A + E = C x D K = (A x D) .50) B Ex. Bag 150.00 75.00 225.00 10 2250 1500 yd belugm COLLEC tol elubom r borlain even uoy Jar wo Aan pese

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