BUSINESS COLLEGE

Last year, DJ's Soda Fountains, Inc. reported an ROE = 27 percent. The firm's debt ratio was 50 percent, sales were $9 million, and the capital intensity ratio was 1.5 times. What is the net income for DJ's last year? Multiple Choice a. $1.22m b. $1.82m c. $2.43m d. $2.84m

Answers

Answer 1
Answer:

Answer:

b. $1.82m

Explanation:

Capital Intensity ratio = Total aasets / sales

1.5 = Total Assets / 9m

Total Assets = 9m x 1.5 = 13.5

ROE = Total Income / Shareholders equity

27% = Total Income / (13.5 x 50%)

27% = Total Income / 6.75

Total Income = 27% x 6.75

Total Income = 1.8225

Total Income = 1.82 (Rounded)

The correct option is b. $1.82m.

Related Questions

Which transaction increases​ stockholders' equity? A. payment of operating expenses B. expenses greater than revenues for the period C. dividends that are declared and paid D. sale of common stoc
For each of the following independent situations, prepare journal entries to record the initial transaction on December 31 and the adjustment required on January 31. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.)a. Magnificent Magazines received $16,800 on December 31, 2015, for subscription services related to magazines that will be published and distributed in January through December 2016.b. Walker Window Washing paid $1,680 cash for supplies on December 31, 2015. As of January 31, 2016, $280 of these supplies had been used up.c. Indoor Raceway received $4,200 on December 31, 2015, from race participants for providing services for three races. One race is held in January 31, 2016, and the other two will be held in March 2016.1. Record the receipt of $16,800 on December 31, 2015, for subscription services related to magazines that will be published and distributed from January through December 2016.2. Record the January 31, 2016 adjusting entry for the December 31, 2015 receipt of $16,800 for magazine subscriptions to be published January through December 2016.3. Record the payment of $1,680 cash for supplies by Walker Window Washing on December 31, 2015. As of January 31, 2016, $280 of these supplies had been used up.4. Record the January 31, 2016 adjusting entry for the December 31, 2015 cash payment of $1,680 for supplies. As of January 31, 2016, $280 of these supplies had been used up.5. Record the receipt by Indoor Raceway of $4,200 on December 31, 2015, from race participants for providing services for three races. One race is held on January 31, 2016, and the other two will be held in March 2016.6. Record the January 31, 2016 adjusting entry for the December 31, 2015 receipt of $4,200 from race participants for providing services for three races. One race is held on January 31, 2016 and the other two will be held in March 2016.
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Which of these projects is likely to have the higher asset beta, other things equal? Why? a. The sales force for project A is paid a fixed annual salary. Project B’s sales force is paid by commissions only.b. Project C is a first-class-only airline. Project D is a well-established line of breakfast cereals.
University Printers has two service departments (Maintenance and Personnel) and two operating departments (Printing and Developing). Management has decided to allocate maintenance costs on the basis of machine-hours in each department and personnel costs on the basis of labor-hours worked by the employees in each.The following data appear in the company records for the current period:Maintenance Personnel Printing DevelopingMachine-hours — 1,700 1,700 5,100 Labor-hours 700 — 700 2,800 Department direct costs $ 2,400 $ 12,400 $ 14,100 $ 11,000 Required:Use the direct method to allocate these service department costs to the operating departments. (Negative amounts should be indicated by a minus sign. Do not round intermediate calculations.)

Girls between the ages of 8 and 15 are one of the growing markets for high-end shoe manufacturers, and podiatrists say the trend is leading to many stylish young girls with grown-up foot problems. To many parents and podiatrists, shoe manufacturers who develop and market adult-styled shoes to this group are not operating at a(n) _____ responsibility level.

Answers

Answer:

Shoe manufacturers are not operating at an corporate social responsibility level.

Explanation:

Corporate social responsibility is that kind of business model which is self regulating in the nature. This is also know as corporate citizenship , according to this model company's try to operate their business in such ways that do no harm to the environment or negatively affect the society but here the motto of the company's are to enhance the society, environment , and the customer satisfaction. Company's working on this approach try to be accountable for their actions towards the consumer and society . In this question shoe manufacturers are not operating at an corporate social responsibility level.

Answer: Ethical

Explanation: The shoe manufacturers who develop and market adult-styled shoes to this group are not operating at an ethical responsibility level of the pyramid of corporate social responsibility. The ethical aspect deals with going to great extents across legal requirements to meet the expectations of society. Social responsibility is the duty of business to do no harm to society. In other words, in their daily operations, the shoe makers were not concerned about the welfare of their customers and were not mindful of how their actions affected them later on. Therefore, they weren't operating at an ethical level.

_______ describes approaches that recognize differences between target markets by using individual marketing mixes.a. market segmentation
b. segmentation criteria
c. segmented marketing strategy

Answers

Answer:

Option C, Segmented marketing strategy

Explanation:

Segmented marketing strategy is a process of breaking down the targeted audience into smaller groups so that it can be easily managed. The criteria’s used for breaking down the market include – geography, behaviour, demography and Psychographic.

Hence, option C is correct

A common carrier bailee generally would avoid liability for loss of goods entrusted to its care if the goods area. Stolen by an unknown person.b. Negligently destroyed by an employee.c. Destroyed by the derailment of the train carrying them due to railroad employee negligence.d. Improperly packed by the party shipping them

Answers

Answer:

The correct answer is letter "D": Improperly packed by the party shipping them.

Explanation:

Carriers are liable for the loss of goods being transported by them under three scenarios: acts of God (because they are unpredictable), acts of the shipper (negligence of the person providing with the goods being transported), and acts of a public enemy (a country engaging into the war).

In that case, the carrier is likely not to be found liable if the shipping items were incorrectly packaged the sending party.

Activity Cost Pool Total Cost Total Activity Activity Rate Machine setups $ 20,000 200 setups $ 100 per setup Special processing $ 150,000 10,000 MHs $ 15 per machine-hour General factory $ 200,000 20,000 direct labour-hours $ 10 per direct labour-hour Total overhead costs $ 370,000 What is the total overhead cost assigned to Product A, if Product A used 100 setups, no special processing and 10,000 direct labor-hours? $10,000 $1,000 $110,000 $100,000

Answers

Answer:

total overhead cost = $110,000

so correct option is c.  $110,000

Explanation:

given data

used = 100 setups

direct labor-hours = 1000

to find out

What is the total overhead cost assigned to Product A

solution

we get total overhead cost that is express as

total overhead cost = [ $100 per machine setup × 100 setups ] + [ $15 per machine-hours × 0 special processing ] + [ 10 per direct labor-hour × 10,000 direct labor-hours ]    

so

total overhead cost = $10,000 + $0 + $100,000

total overhead cost = $110,000

so correct option is c.  $110,000

A principle under which the intent to form a contract will be judged by outward, objective facts as interpreted by a reasonable person, rather than by the party's own secret, subjective intentions is called:_________

Answers

Answer:

Objective Theory

Explanation:

The Objective theory states that the intent to form a contract will be judged by outward objective facts such as the words and actions of the party instead of the secret, subjective intentions. This theory replaced the Subjective theory in the late nineteenth century. The former theory was of the opinion that the meeting of minds, which translates to the unexpressed intentions of the party would form a basis for interpreting the intent to form a contract.

The objective theory is important as it advocates freedom to a fair hearing, freedom of contract, and personal independence or sovereignty.  

Austin, Texas is host to a popular festival, South by Southwest (SXSW) which recently celebrated its 30th anniversary. It has released dates for the new year and invites participants for the unique music, film, and interactive events or sessions from March 10th through 19th. Which category of nontraditional marketing would best characterize the marketing activities to attract attendees for the multi-day festival? (A) ​event
(B) ​cause
(C) ​place
(D) organization

Answers

Answer:

The correct answer is (A) ​event

Explanation:

Event marketing is a strategy that consists of giving memorable experiences to the consumers of a brand, in order to last in their memory. This type of activity aims to identify the brand and connect with it.

Thanks to these events, the company increases its brand recognition, improves the image, establishes strong relationships with customers, employees and suppliers.
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