The Dennis Company reported net income of $50,000 on sales of $300,000. The company has average total assets of $500,000 and average total liabilities of $100,000. What is the company's return on equity ratio?
A. 12.5%
B. 10.0%
C. 50.0%
D. 16.7%
Answer: A
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Kent Co. manufactures a product that sells for $50.00 and has variable costs of $24.00 per unit. Fixed costs are $260,000. Kent can buy a new production machine that will increase fixed costs by $11,400 per year, but will decrease variable costs by $3.50 per unit. Compute the revised break-even point in units if the new machine is purchased.
A. 8,814 units. B. 9,200 units. C. 10,438 units. D. 10,000 units. E. 9,869 units.
Pierre is unsure as to whether he should support a union but is leaning toward a "no" vote. After talking with several of his coworkers, he realizes that most of them are very supportive of unionization. Recognizing the importance of "sticking together," and not wanting to disappoint his coworkers, Pierre decides he should vote "yes" in the upcoming election. Which of following factors best explains Pierre's change of heart?
A. Union instrumentality. B. General beliefs about unions. C. Workplace social identity and/or social pressure. D. Utility maximization.
In general, projects with similar-sized investments and lower cash inflows in the early years tend to be preferred at higher discount rates
Indicate whether the statement is true or false
For which of the following is servant leadership criticized?
A. Sacrificing self-awareness B. Misplaced goals C. Being overly complex D. Ignoring altruism