Answer:
The answer is behavioural segmentation
Explanation:
Behavioral Segmentation is a form of customer segmentation that divides consumers according to behavior patterns as they interact with a company. One of the objectives is to understand how to address the particular needs and desires of customer groups..
It helps us to analyze how consumers used their cards and how much they valued rewards. We have benefit-seeking buyers, Loyalty-oriented purchasing etc
An investor who was not as astute as he believed invested $264,500 into an account 12 years ago. Today, that account is worth $204,000. What was the annual rate of return on this account
Answer:
-19.061%
Explanation:
interest earned= principal x time x interest rate
Interest earned = $264,500 - $204,000 = $-60,500
$-60,500 = $264,500 x 12 x interest rate
interest rate = -0.19061 = -19.061%
Innovations are allowing consumers to utilize gesture, touch, and voice to control computers and other devices. This is an example of a(n) __________ force that could impact many industries.
Answer:
This question is incomplete, the options are missing. The options are the following:
a) Economic
b) Technological
c) Competitive
d) Regulatory
e) Social
And the correct answer is the option B: Technological.
Explanation:
To begin with, those kind of innovations like gesture, touch and voice commands that are focused in controlling the computers in a major amount of ways so therefore the use of the device will be easier for the users, are only trying to tend to the new ways of technology that will eventually in the future dominate in the industries and will cause an increase in the production of those companies that use that kind of technology because it only makes it easier to do the tasks and therefore that the technology force mentioned will only impact in a great way in many industries.
You need to borrow money and you are considering two loans. The terms of the two loans are equivalent with the exception of the interest rates. Loan A offers a stated rate of 3.125% compounded monthly. Loan B offers a stated rate of 3.15% compounded semi-annually. What are the effective annual rates for the loans? Which one do you prefer
Answer:
For Loan A = 3.170%
For Loan B = 3.174%
Loan B has a higher effective annual rate.
Explanation:
The computation of effective annual rates for the loans is shown below:-
For Loan A
We will assume effective annual rate is a
Stated rate(r) = 3.125% compounded monthly
= Number of periods in an year n = 12
So,
(1 + a) = (1 + r ÷ n) × n
= a = (1+0.03125 ÷ 12) × 12 - 1
= 0.03170
or
= 3.170%
For Loan B
We will assume the effective annual rate is b
Stated rate (r) = 3.15% compounded semi annually
= Number of periods in an year n = 2
So
(1 + a) = (1 + r ÷ n) × n
= a = (1 + 0.0315 ÷ 2) × 2 - 1
= 0.03174
or
= 3.174%
From the above calculation we can see that Loan B, is greater than Loan A and has a higher effective annual rate.
Which of the following is an incorrect statement? a If individual audit risk remains the same, detection risk bears an inverse relationship to inherent and control risk. b The greater the inherent and control risk the auditor believes exist the less detection risk that can be accepted. c The auditor might make separate or combined assessments of inherent risk and control risk. d Detection risk cannot be changed at the auditor’s discretion.
Answer:
d Detection risk cannot be changed at the auditor’s discretion.
Explanation:
Audit risk can be defined as the risk that financial reports issued by an auditor are materially incorrect due to fraud or errors, despite the fact that the inappropriate audit opinion states that the financial reports are void of any material misstatements. There are two (2) main components of an audit risk, these are;
1. Detection risk: this deals with the fact that procedures used by the auditor will not detect any material misstatement as a result of errors.
2. Risk of material misstatement: this deals with the material misstatements of financial statements before auditing. There are two main types namely, inherent and control risks.
The following statements are true and correct;
A. If individual audit risk remains the same, detection risk bears an inverse relationship to inherent and control risk.
B.The greater the inherent and control risk the auditor believes exist the less detection risk that can be accepted.
C. The auditor might make separate or combined assessments of inherent risk and control risk.
However, saying that detection risk cannot be changed at the auditor’s discretion is false. Since it is arises as a result of error, if the auditor conducts a proper sampling procedure it can be detected and eventually changed.
Assume that the number of people affected by these external costs is large. If the government wishes to establish an optimal allocation of resources in this market, it should
Answer:
tax producers so that the market supply shift leftward (upward)
Explanation:
Since S is the market supply curve, and S1 is the supply curve composed of all the other costs of production even external costs.
We recognize that external costs are the expenses involved when such goods and services are generated by third parties (who were not a part of the transaction).
A company's output imposes higher external costs on the people and hence the people most affected by such external costs is large.
Therefore, if the government needs to launch an appropriate resource allocation wherein resources are efficiently allocated at least contribute, the producers should be taxed.
The costs of production rise whenever the producers are taxed, which reduces the quantity given.
This will upward shift the supply curve from S to S1 to the left.
Bonds with a face amount $1,000,000, are sold at 96. The entry to record the issuance is
A. Cash 1,000,000
Premium on Bonds Payable 40,000
Bonds Payable 960,000
B. Cash 960,000
Premium on Bonds Payable 40,000
Bonds Payable 1,000,000
C. Cash 960,000
Discount on Bonds Payable 40,000
Bonds Payable 1,000,000
D. Cash 960,000
Bonds Payable 960,000
Answer:
Option C is correct
Explanation:
The cash proceeds from the bond issuance is 96% of its face value i.e 96%*$1,000,000=$960,000
The discount on bonds payable=Face value-cash proceeds
The discount on bonds payable=$1,000,000-$960,000=$40,000
The appropriate entries would be to credit bonds payable with $1000,000 while cash and discount on bonds payable are debited with $960,000 and $40,000 respectively
An aging of a company's accounts receivable indicates that $3140 are estimated to be uncollectible. If Allowance for Doubtful Accounts has a $820 debit balance, the adjustment to record bad debts for the period will require a:__________
a. debit to Bad Debt Expense for $3140.
b. credit to Allowance for Doubtful Accounts for $820.
c. debit to Bad Debt Expense for $3960.
d. debit to Bad Debt Expense for $2320.
Answer:
c. debit to Bad Debt Expense for $3960.
Explanation:
The journal entry to record the bad debt expense is shown below;
Bad debt expense Dr ($3,140 + $820) $3,960
To Allowance for doubtful debts $3,960
(Being the bad debt expense is recorded)
For recording this we debited the bad debt expense as it increased the expenses and credited the allowance for doubtful debts as it decreased the assets
Therefore option c is correct
A retired married customer, age 73, has a portfolio that is invested in Blue Chip stocks and Treasury bonds that provides current income. The customer is concerned that he is paying a very high Federal and State combined income tax rate. An appropriate recommendation for this customer would be to diversify part of his portfolio into an investment in:
Answer:
The answer is Municipal bonds
Explanation:
Municipal bonds are securities(debt securities) issued by states, cities, counties etc. It is generally issued to fund capital project like construction of roads, schools etc.
Municipal bonds are generally valued for being exempt from federal, state or local taxes taxes. Hence, the reason why the customer should invest in this type of bond since the customer is being concerned about high tax that he has been paying.
1 points eBookPrintReferences Check my work Check My Work button is now disabled3Item 2Item 2 1 points Today, your dream car costs $65,500. You feel that the price of the car will increase at an annual rate 2.4 percent. If you plan to wait 4 years to buy the car, how much will it cost at that time
Answer:
$72,018.011
Explanation:
Calculation of how much will it cost at that time you plan to wait 4 years to buy the car
Using this formula
Cost =Car cost (Increase in price)^ Number of years
Let plug in the formula
Cost =$65,500(1+0.024)^4
Cost =$65,500(1.024)^4
Cost =$65,500(1.09951162)
Cost =$72,018.011
Therefore the amount that it will cost at that time you plan to wait 4 years to buy the car will be $72,018.011
Oral Roberts Dental Supplies has annual sales of $5,625,000. 80% are on credit. The firm has $475,000 in accounts receivable. Compute the value of the average collection period.
Answer:
The answer is 38 days
Explanation:
The average collection period is the number of days it takes a company to convert its credit sales to cash
Average collection period = (account receivables/average credit sales) x 360 days
Credit sales = 80% of $5,625,000
=0.8 x $5,625,000
=$4,500,000.
Average collection period is therefore,
($475,000/$4,500,000) x 360 days
=0.10555556 x 360days
=38 days
Sufra Corporation is planning to sell 150,000 units for $2.90 per unit and will break even at this level of sales. Fixed expenses will be $93,000. What are the company's variable expenses per unit
Answer:
$2.28
Explanation:
Breakeven point is the number of units produced and sold at which net income is equal to zero.
Breakeven = F / P - V
F = fixed
P = price
V = variable cost
150,000 = $93,000 / $2.90 - V
Multiply both sides of the equation by $2.90 - V
= ($2.90 - V)150,000 = $93,000
$435,000 - 150,000V = $93,000
V = $2.28
I hope my answer helps you
Fasheh Corporation's relevant range of activity is 7,000 units to 11,000 units. When it produces and sells 9,000 units, its average costs per unit are as follows: Average Cost per Unit Direct materials $ 5.50 Direct labor $ 3.90 Variable manufacturing overhead $ 1.30 Fixed manufacturing overhead $ 13.50 Fixed selling expense $ 2.25 Fixed administrative expense $ 1.80 Sales commissions $ 0.50 Variable administrative expense $ 0.45 If 10,000 units are produced, the total amount of manufacturing overhead cost is closest to:
Answer:
$134,500
Explanation:
Total manufacturing overhead = Variable overhead + Fixed overhead
Variable overhead= $1.3 * 10,000 units= $13000
Fixed overhead = $13.50 * 9000 units = $121,500
Total manufacturing overhead= $13,000+$121,500
= $134,500
If a major misdeed is committed by a brokerage that results in a substantial drain on the real estate recovery trust account, what options are available to replenish the fund?
Answer:
Explanation:
Real Estate Recovery Trust Account are accounts that are funded by administrative penalties and dispersed to consumers that are owed damages due to a license holder's conduct and subsequent inability to pay. These licence holders may be charged an additional $10 fee on the renewal date in order to make up for the substantial drain, or receive a special assessment if the replenishment is urgent.
The cost of an asset is $ 1 comma 050 comma 000, and its residual value is $ 130 comma 000. Estimated useful life of the asset is ten years. Calculate depreciation for the second year using the doubleminusdecliningminusbalance method of depreciation. (Do not round any intermediate calculations, and round your final answer to the nearest dollar.)
Answer:
$168,000
Explanation:
Depreciation expense using the double declining method = Depreciation factor x cost of the asset
Depreciation factor = 2 x (1/useful life)
Depreciation factor = 2 x (1/10) = 0.2
depreciation expense in year 1 = 0.2 x $1,050,000 =$210,000
book value at the beginning of year 2 = $1,050,000 - $210,000 = $840,000
depreciation expense in year 2 = 0.2 x $840,000 = $168,000
When talking about economic profits in a perfectly competitive market, the difference between the long run and the short run is that, in the short run, firms:
Durban Metal Products, Ltd., of the Republic of South Africa makes specialty metal parts used in applications ranging from the cutting edges of bulldozer blades to replacement parts for Land Rovers. The company uses an activity-based costing system for internal decision-making purposes. The company has four activity cost pools as listed below:________.
Activity Cost Pool Activity Measure Activity Rate
Order size Number of direct labor-hours $ 16.85 per direct labor-hour
Customer orders Number of customer orders $ 320.00 per customer order
Product testing Number of testing hours $ 89.00 per testing hour
Selling Number of sales calls $ 1,090.00 per sales call
The managing director of the company would like information concerning the cost of a recently completed order for heavy-duty trailer axles. The order required 200 direct labor-hours, 4 hours of product testing, and 2 sales calls.Required:Prepare a report summarizing the overhead costs assigned to the order for heavy-duty trailer axles. What is the total overhead cost assigned to the order?
Answer:
Overhead Report for heavy-duty trailer axles.
Order size ($ 16.85 × 200) $3,370.00
Customer orders ($ 320.00 × 1) $320.00
Product testing ($ 89.00 × 4) $356.00
Selling ( $ 1,090.00 × 2) $2,180.00
Total $6,226.00
Conclusion :
The total overhead cost assigned to the order is $6,226.00
Explanation:
ABC system allocates overheads to jobs using cost drivers.
First an Activity Center where costs accumulate is identified these can be several in our scenario we have four Activity Centers.
Then the Cost driver rate is calculated for each Activity Center. Our question has provided these.
The final step is to allocate the overheads to a particular job using the cost driver rate.
Ashley is an attorney who specializes in family law. She uses the cash method of accounting and is a calendar-year taxpayer. Last year, she represented a client in a lawsuit and billed the client $5,000 for her services. Although she made repeated attempts, Ashley was unable to collect the outstanding receivable. Finally, in November of the current year, she finds out that the individual has moved without leaving any forwarding address. Ashley’s attempts to locate the individual are futile. What is the amount, if any, of the deduction that she may claim in connection with this bad debt?
Answer:
The Answer is explained below
Explanation:
Ashley is unable to collect the outstanding receivable after repeated attempts. In order to claim any deduction in connection with this bad debt Ashley has to record the income first but Ashley is using the cash method of accounting here. Therefore she can only claim any deduction when she receives any payment.
The equal total payments pattern for installment notes consists of changing amounts of interest but constant amounts of principal over the life of the note.
A. True
B. False
Answer:
B. False
Explanation:
The equal total payments pattern for installment notes is when the regular payments on an installment note are always for the same amount. However, the amounts of interest and principal change over the life of the note because at the begining, most of the payment amount goes toward the interest and as you make payments your principal starts to decrease making the amount that goes toward the interest to decrease and the money that goes towards the principal to increase. According to that, the statement is false.
A large company is accused of gender discrimination in wages. The following model has been estimated from the company's human resource information.
In (WAGE) = 1.439 + .0834 EDU + .0512 EXPER + .1932 MALE
Where WAGE is hourly wage, EDU is years of education. EXPER is years of relevant experience, and MALE indicates the employee is male How much more do men at the firm earn, on average?
a) $1.21 per hour more than females
b) 19.32% more than females
c) $19.32 per hour
d) $19, 320 more per year than females^2
Answer: b) 19.32% more than females
Explanation:
According to the model for calculating how wages are paid to employees, there is a .1932 coefficient attached to being a male employee. This means that 0.1932 (19.32% ) is added to an employees salary if they are males. This simply means that males are getting paid 19.32% more than other employees in the company which is this case are females.
Sony has a better opportunity to reach the potential Millennial market segment, compared to unestablished manufacturers, because of its:_______
Answer:
full spectrum of product offerings
Explanation:
Sony has always been striving to serve its customer better. Millennial are the top brands that are considered in market. They are the organizations which capture major market share and are massive market segment. Sony has offered wide range of products to its customers.
Understanding cost behavior depends on all of the following except a.intangibles. b.relevant range. c.activity drivers. d.activity bases.
Answer:
a.intangibles.
Explanation:
The cost behavior refers to behavior in which it shows the changes in the cost if there is a change in any kind of activity
It can be based on given range, activity drivers, activity bases but not with the intangible cases as intangible refers to the asset which cannot be visible or even touched like intellectual properties i.e copyrights, patents, goodwill, etc
Hence, the correct option is a.
if a firm's total revenue is equal to $800 and its total costs are equal to $472, what are its profits?
Answer:
Gross profit= $328
Explanation:
Giving the following information:
Sales revenue= $800
Total costs= $472
To calculate the total profit of this company, all we have to do is deduct from earnings all the cost components. I will assume that total costs include both fixed and variable costs.
Gross profi= 800 - 472
Gross profit= $328
Pace corporation acquired 100 percent of spin company's common stock on January 1, 20X9. Balance sheet data for the two companies immediately following the acquisition follow:
Item Pace Corporation Spin Company
Cash $30,000 $25,000
Accounts Receivable 80,000 40,000
Inventory 150,000 55,000
Land 65,000 40,000
Buildings and Equipment 260,000 160,000
Less: Accumulated Depreciation (120,000) (50,000)
Investment in Spin Company Stock 150,000
Total Assets $615,000 $270,000
Accounts Payable $45,000 $33,000
Taxes Payable 20,000 8,000
Bonds Payable 200,000 100,000
Common Stock 50,000 20,000
Retained Earnings 300,000 109,000
Total Liabilities and Stockholders’ Equity $615,000 $270,000
At the date of the business combination, the book values of Spin's net assets and liabilities approximated fair value except for inventory, which had a fair value of $60,000, and land, which had a fair value of $50,000. The fair value of land for Pace Corporation was estimated at $80,000 immediately prior to the acquisition.
1. Based on the preceding information, at what amount should total land be reported in the consolidated balance sheet prepared immediately after the business combination?
a. $130,000
b. $105,000
c. $115,000
d. $120,000
2. Based on the preceding information, what amount of total assets will appear in the consolidated balance sheet prepared immediately after the business combination?
a. $756,000
b. $735,000
c. $750,000
d. $642,000
3. Based on the preceding information, what is the differential associated with the acquisition?
a. $15,000
b. $21,000
c. $6,000
d. $10,000
4. Based on the preceding information, what amount of goodwill will be reported in the consolidated balance sheet prepared immediately after the business combination?
a. $0
b. $21,000
c. $6,000
d. $15,000
5. Based on the preceding information, what amount of liabilities will be reported in the consolidated balance sheet prepared immediately after the business combination?
a. $615,000
b. $406,000
c. $300,000
d. $265,000
Answer:
Pace Corporation and Spin Company
1. Land should be reported in the consolidated balance sheet as
a. $130,000
2. Total assets:
b. $735,000
3. The differential associated with the acquisition:
b. $21,000
4. Goodwill
b. $21,000
5. Amount of liabilities in the consolidated balance sheet:
b. $406,000
Explanation:
a) Data:
Item Pace Spin
Corporation Company
Cash $30,000 $25,000
Accounts Receivable 80,000 40,000
Inventory 150,000 55,000
Land 65,000 40,000
Buildings and Equipment 260,000 160,000
Less: Accumulated Depreciation (120,000) (50,000)
Investment: Spin Company Stock 150,000
Total Assets $615,000 $270,000
Accounts Payable $45,000 $33,000
Taxes Payable 20,000 8,000
Bonds Payable 200,000 100,000
Common Stock 50,000 20,000
Retained Earnings 300,000 109,000
Total Liabilities and Stockholders’
Equity $615,000 $270,000
b) Consolidated Balance Sheets
Item Pace Spin Total
Corporation Company Group
Cash $30,000 $25,000 $55,000
Accounts Receivable 80,000 40,000 120,000
Inventory 150,000 60,000 210,000
Land 80,000 50,000 130,000
Buildings and Equipment 260,000 160,000 420,000
Less: Accumulated
Depreciation (120,000) (50,000) (170,000)
Investment:
Spin Company Stock 150,000 0
Goodwill 21,000
Total Assets $630,000 $285,000 $786,000
Accounts Payable $45,000 $33,000 $78,000
Taxes Payable 20,000 8,000 28,000
Bonds Payable 200,000 100,000 300,000
Common Stock 50,000 20,000 50,000
Retained Earnings 300,000 109,000 300,000
Assets Revaluation 15,000 15,000 30,000
Total Liabilities and Stockholders’
Equity $630,000 $285,000 $786,000
c) Differential on acquisition = investment (of subsidiary) - net assets
= $150,000 - ($270,000 - 141,000) = $21,000
Suppose $1 comma 500 is deposited in a bank account today (time 0), followed by $1 comma 500 deposits in years 2, 4, 6, and 8. At 9% annual interest, how much will the future equivalent be at the end of year 12?
Answer:
$15,391.91
Explanation:
the first step is to find the present value of the cash flows. After the future value of the sum would be determined.
present value is the sum of discounted cash flows.
present value can be determined using a financial calculator
Cash flow in year 0 = $1500
Cash flow in year 1 = 0
Cash flow in year 2 = $1500
Cash flow in year 3 = 0
Cash flow in year 4 = $1500
Cash flow in year 5 = 0
Cash flow in year 6 = $1500
Cash flow in year 7 = 0
Cash flow in year 8 = $1500
I = 9%
PV = $5472.36
The formula for calculating future value:
FV = P (1 + r) n
FV = Future value
P = Present value
R = interest rate
N = number of years
$5472.36(1.09)^12 = $15,391.91
To find the PV using a financial calculator:
1. Input the cash flow values by pressing the CF button. After inputting the value, press enter and the arrow facing a downward direction.
2. after inputting all the cash flows, press the NPV button, input the value for I, press enter and the arrow facing a downward direction.
3. Press compute
Nabors Company reported the following current assets and liabilities for December 31 for two recent years: Dec. 31, Current Year Dec. 31, Previous Year Cash $1,430 $1,710 Temporary investments 3,120 3,840 Accounts receivable 7,150 2,610 Inventory 2,340 2,300 Accounts payable 6,500 5,100 Required: a. Compute the quick ratio on December 31 of both years. If required, round your answers to one decimal place. Quick Ratio December 31, current year December 31, previous year b. Is the quick ratio improving or declining?
Answer:
a. Quick ratio for current year =2.16
Quick ratio for current year =2.05
b. Improving
Explanation:
A.
To find quick ratios we need to divide current assets by current liabilities
Quick Ratio = [tex]\frac{currentasssets}{currentliabilities}[/tex]
Current assets Dec 31 current year Dec 31 previous year
Cash $1,430 $1,710
Temporary investment $3,120 $3,840
Accounts receivable $7,150 $2,610
Inventory $2,340 $2,300
Total current assets $14,040 $10,460
Current liability
Account payable $6,500 $5,100
Quick Ratio [tex]\frac{14040}{6500 }[/tex] [tex]\frac{10460}{5100}[/tex]
Quick Ratio 2.16 2.05
B.
As you can see above that in the previous year Nabors company had a quick ratio of 2.05 but it has slightly increased by 0.11 in the current year.
Answer:
Quick Ratio for the current year = 3.78
Quick Ratio for the previous year = 1.6
Explanation:
Nabors Company
Dec. 31, Current Year Dec. 31, Previous Year
Cash $1,430 $1,710
Temporary investments 3,120 3,840
Accounts receivable 7,150 2,610
Inventory 2,340 2,300
Accounts payable 6,500 5,100
Quick Ratio = Cash + Cash Equivalents + Accounts Receivables/ Accounts Payables
Quick Ratio for the current year = $ 1430+ 3120 + 7150/ 6500
= 24570/6500= 3.78
Quick Ratio for the previous year = $ 1710+ 3840 + 2610/ 5100
= 8160/5100= 1.6
A quick ratio less than 1.0 means that the current liabilities exceed the quick assets. a rule of thumb the quick ratio must have a value greater than 1.0 to conclude that the company is unlikely to face near term liquidity problems. . A value less than 1.0 raises the liquidity concerns unless the a company can generate enough cash from inventory sales or if much of its liabilities are not due until late in the next period.
Similarly a value greater than 1.0 can hide a liquidity problem if payable are due shortly and receivables are not collected late until next period.
It is improving.
If Mikael decides to go out with his friends instead of study for his biology test, what is the opportunity cost?
Answer:
Studying his biology test
Explanation:
opportunity cost refers to the cost of the forgone alternative inorder to enjoy another service
A system of rewarding managers by linking bonuses to income computed under absorption costing may result in:
Answer:
excess inventory buildup
Explanation:
The absorption costing is the costing which covers full costing i.e direct costing and indirect costing
Here directing costing could be in terms of direct material, direct labor
While the indirect costing could be in terms of manufacturing overhead or indirect cost
In the given case since the managers who are rewarding in order to link bonus to income so it would be results in building excess inventory and the same is to be considered
The Physical Inventory Worksheet is used when: Multiple Choice inventory items are physically placed in the warehouse All of the choices are correct the computer system goes down taking a physical count of inventory on hand
Answer:
taking a physical count of inventory on hand
Explanation:
The Physical Inventory Worksheet is used when taking a physical count of inventory on hand. This is the only way to tell how many items are really available for sale and allows a business to do it efficiently. An example would be counting the number of steaks the restaurant has on hand on a Saturday afternoon. This also allows the business to analyze the expected sales with the actual inventory in order to determine whether or not they need more.
Assume that there is an autonomous increase in investment spending of $20 billion and the MPC is given as 0.4, and assuming taxes, imports, and savings are all equal and no leakages:
Answer:
a. 1.67
b. $33.4 billion
c. A larger MPC
Explanation:
a. The Spending Multiplier is used to calculate how much an Economy increases as a result of an extra dollar being put into it and can be calculated by using the following formula;
= 1 / ( 1 - MPC)
= 1/ ( 1 - 0.4
= 1.67
b. Total Change in GDP = Amount invested * Spending Multiplier
= 20 * 1.67
= $33.4 billion.
c. An Economy is helped when it's GDP increases. A higher Marginal Propensity to Consume (MPC) will help it more in that case because from the formula, a larger MPC would reduce the divisor of 1 resulting in a larger Spending Multiplier which will increase the GDP more per dollar.
To explain further, the MPC measures how much of an extra dollar that people in the Economy spend, if the MPC is higher it means they spend more which will contribute to a rise in Consumption which is part of GDP.
g Ryngard Corp's sales last year were $24,000, and its total assets were $16,000. What was its total assets turnover ratio (TATO).
Answer:
1.50
Explanation:
TATO = (net sales)/(total assets)
= (24000/16000) = 1.50
The total asset turnover ratio (TATO) for Ryngard Corp was 1.50 last year.