What insight does ROI give into investment performance? Is it acceptable to lose profit on one product, if that product is vital to the sale of an extremely profitable product? Why?

Answers

Answer 1
Answer:

Answer:

Explanation:

Return on investment (ROI) can be defined as a performance measure used to evaluate the efficiency of an investment or to compare the efficiency of a number of investments.

The ability to calculate return on investment is particularly valuable for any business regardless of its size or industry. by calculating ROI, an individual can understand how well their business is doing and which areas needs improvement.

Every business decision requires knowldge of ROI, so as to optimize profitability. Yes it is acceptable to loose profit of one product for the sale of a profitable product because the gain that would be derived by selling an extremely profitable products is better for the company that the gain one product will derive. Afterall, every company wants to increase profitability.


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Assume an investor purchases the net assets of an investee for the cash purchase price is $50,400. The investor is willing to purchase the investee's business for this amount because the fair value of PPE is $47,040 and the fair value of a (previously unrecognized) customer list is $10,080 (the fair values of all other assets and liabilities are equal to their book values). The investee company reports the following balance sheet on the acquisition date:Cash $1,680 Accounts payable 3,360 Accounts receivable $3,360 Accrued liabilities 5,040 Inventories 6,720 Current assets 11,760 Current liabilities 8,400 Long-tem liabilities 6,720PPE, net 16,800 Stockholders' equity 13,440 Total liabilities & equity $28,560 Total assets $28,560Parts A and B are independent of each other. A. Provide the journal entry if the investor pays cash and purchases the assets and assumes the liabilities of the investee company. B. Provide the journal entry if the investor pays cash and purchases all of the stock of the investee's shareholders.
What are some forces that influence environmental uncertainty? Which typically has the greatest impact on uncertainty? --- environmental complexity or environmental dynamism? Why?
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Consumption spending is:__________ A. spending by households, businesses, and government on all goods used up within one year. B. spending by individuals and households on both durable and nondurable goods. C. spending on goods and services by heads of households. D. spending by individuals and households on only nondurable goods, since they are used up quickly.

Answers

Answer:

b. spending by individuals and households on only non-durable goods.

Explanation:

Consumption spending is spending by individuals and households on only non-durable goods. Consumption is a component of GDP which includes spending on goods and services by individuals and households as it includes non-durable as well as durable goods on the basis of consumption patterns.

At December 31, 2019, Swifty Corporation reported the following as plant assets.Land $3,980,000
Buildings $28,210,000
Less: Accumulated depreciation-buildings 13,200,000 15,010,000
Equipment 48,670,000
Less: Accumulated depreciation-equipment 4,980,000 43,690,000
Total plant assets $62,680,000
During 2020, the following selected cash transaction occurred.

April 1 Purchased land for $2,200,000
May 1 Sold equipment that cost $840,000 when purchased on January 1, 2016. The equipment was sold for $504,000
June 1 Sold land purchased on June 1, 2010 for $1,450,000. The land cost $399,000
July 1 Purchased equipment for $2,480,000
Dec. 31 Retired equipment that cost $491,000 when purchased on December 31,2010. The company received no proceeds related to salvage.
-Journalize the above transactions. The company uses straight-line depreciation for buildings and equipment. The buildings are estimated to have a 50-year life and no salvage value. The equipment is estimated to have a 10-year useful life and no salvage value. Update depreciation on assets disposed of at the time of sale or retirement.

-Record adjusting entries for depreciation for 2020. Credit account titles are automatically indented when the amount presented in the problem. If no entry is required, select "No Entry for the account titles and enter 0.

Answers

Answer:

April 01 2020

Land                                                            Debit          $ 2,200,000

Cash                                                           Credit                             $2,200,000

To record purchase of land

May 01 2020

Cash                                                            Debit         $ 504,000

Allowance for depreciation equipment    Debit         $ 363,720

Equipment                                                   Credit                              $ 840,000

Gain on sale of equipment                         Credit                              $   27,720

To record sale of equipment and to recognise gain on sale

June 01 2020

Cash                                                              Debit      $ 1,450,000

Land                                                              Credit                            $ 399,000

Gain in sale of land                                      Credit                            $1,051,000

To record sale of land and gain on the sale

July 01 2020

Equipment                                                     Debit    $ 2,480,000

Cash                                                              Credit                         $ 2,480,000

To record purchase of equipment

December 31 2020

Allowance for depreciation                          Debit    $ 491,000

Equipment                                                      Credit                        $ 491,000

To record retirement of equipment

The adjusting entry for depreciation is as follows:

December 31 2020

Depreciation expense - Equipment             Debit  $ 4,985,000

Depreciation expense - Buildings                Debit  $   578,200

Allowance for depreciation - Equipment     Credit                     $ 4,985,000

Allowance for depreciation - Buildings        Credit                     $    578,200

Explanation:

Computation for Depreciation expense for the year

Equipment Jan 01 2020                        $ 48,670,000  for 4 months @ 10 %

Sales - May 01 2020                              $(     840,000)

Adjusted balance May 01 2020            $ 47,830,000 for 2 months @ 10 %

Purchases July 01 2020                        $   2,480,000

Adjusted balance July 01 2020            $  50,310,000 for 6 months @ 10 %

Depreciation expense for 4 months = $ 48,670,000*10 % *4/12 = $1,622,333

Depreciation expense for 2 months = $ 47,830,000*10 % *2/12 = $   797,167

Depreciation expense for 6 months = $ 51,310,000*10 % *6/12 =$ 2,565,500          

Total depreciation equipment                                                      $ 4,985,000

Depreciation on buildings     $ 28,910,000 * 2 %                       $     578,200

Depreciation has to be recorded for full year on assets retired on December 31 2020

Computation of gain and loss on sale of equipment

Cost of equipment  purchased on January 1 2016                       $ 840,000

Depreciation rate                                          10 %

Equipment sold on May 01 2020

Depreciation charged for 4 years and 3 months @ 10 %

$ 840,000 * 4.33 *10 %                                                                   $  363,720

Net book value of equipment disposed on May 01 2020            $ 476,280

Sale value of equipment                                                                  $ 504,000

Gain on sale of equipment                                                             $ (27,720 )                                  

The gain on sale of land is the difference between the cost and sales proceeds since land is not depreciated

Sale proceeds - Cost = $ 1,450,000 - $ 399,000 =                      $ 1,051,000

The assets that was retired on Dec 31 2020 was purchased on December 31 2010 and was considered for depreciation for 10 years and was fully depreciated and had ni book value on the date of retirement

You and a coworker, Nicola, disagree over how to address a problem your team has encountered. You often don’t understand Nicola’s arguments and have the opinion that she is not always well informed. However, this is an important decision, and you know the situation requires you to consider all options before proceeding. 1. What can you do to make sure you understand Nicola’s argument?
Check all that apply.
a. Challenge Nicola’s position.
b. Keep an open mind.
c. Separate facts from opinions.
d. Assume Nicola is incorrect.

Answers

Answer:

The correct answer is letter "B" and "C": Keep an open mind; Separate facts from opinions.

Explanation:

At the moment of solving different-point-of-view issues, it is important to be open-minded, otherwise, we could only remain with our opinion discarding others' critic point of view that could be useful at the moment of taking decisions. Besides, it does not matter if other individuals are biased since we can separate the facts from those points of view. Separating the facts implies analyzing what others have to say in deep regardless of what their emotions can be about that matter. It implies subtracting an objective idea from a subjective point of view.

Final answer:

To understand Nicola's argument, you should keep an open mind, separate facts from opinions, and instead of jumping to conclusions, enhance your understanding by asking clarifying questions.

Explanation:

To make sure you understand Nicola's argument, you can adopt the following ways:

  • Keep an open mind: Try not to be prejudiced about Nicola based on your past interactions. Listen to what she is saying without preconception or bias. You might find even if you don't agree with everything, there could be useful elements in her suggestions.
  • Separate facts from opinions: It's essential to distinguish between what Nicola presents as fact and what is purely opinion. This can significantly aid in legitimising or debunking her points in a fair and logical manner.
  • You should not assume Nicola is incorrect, nor should you immediately challenge Nicola's position. Instead, ask clarifying questions to gain a full understanding and a broader perspective and contribute in a more useful manner to the problem-solving process.

Learn more about Conflict Resolution here:

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Widgets, Inc., based in the United States, makes small parts for the auto industry. Over the past couple of years, Widgets has laid off many workers due to auto industry outsourcing. The federal government has imposed tariffs to discourage outsourcing. This is called

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The policy adopted by the federal government that imposed tariffs to discourage outsourcing is known as Protectionism policy.

A Protectionism policy are adopted or enforced to protect the domestic workers or industries against external bodies.

Hence, the policy adopted by the federal government that imposed tariffs to discourage outsourcing is known as Protectionism policy.

Read more about Protectionism

brainly.com/question/1616157

Answer:

This is called:

Trade Restriction

Explanation:

Outsourcing to foreign markets can cripple domestic industries, increase local unemployment, and impose trade imbalance.  To check excessive outsourcing, the federal government imposes tariffs.  Such a trade restriction is considered necessary within the domestic economy.  But it may be regarded as a restriction of free trade within the international community.

A small copy center uses 4 590-sheet boxes of copy paper a week. Experience suggests that usage can be well approximated by a normal distribution with a mean of 4 boxes per week and a standard deviation of .50 boxes per week. 2 weeks are required to fill an order for letterhead stationery. Ordering cost is $5, and annual holding cost is 37 cents per box. Determine the economic order quantity, assuming a 52-week year.

Answers

Answer: The Economic order quantity(EOQ) is 74 boxes.

Explanation:

Given weekly demand (d)= 4 boxes

Annual demand (D) = 4*52 = 208 boxes

Ordering cost S = $5

Holding cost H = $0.347

Standard deviation (\sigma) = 0.50

Lead time (L) = 2 weeks

∴ Economic order quantity (EOQ) Q is as follow :

Q = \sqrt{(2* D * S)/(H) }

Q = \sqrt{(2* 208 * 5)/(0.347) }

Q = 77.42 or 74

The Economic order quantity(EOQ) is 74 boxes.

A movie ticket cost $0.5 in 1970. The CPI (1970) and the CPI (2011) was 38.8 and 218.8 respectively. How much money would you have needed in 2011 to buy a movie ticket?help please ​

Answers

Answer:

$2.82

Explanation:

The CPI is the measure of the average changes in prices of consumer goods and services. The CPI compares current prices and prices at the base year.

CPI is expressed as a percentage. It represents the cost of goods in a given year divided by the cost of goods in the base year multiplied by 100.

In 1970, the movie price was $0.50, and CPI was 38.8%

in 2011, CPI was 218.8%; the movie price will be?

in 1970: $0.50 =38.8%

in 2011: ? = 218.8%

?= 218.8/38.8 x $0.50

?=5.6392 x 0.50

=$2.81896

=$2.82

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