San Marco has a $4,000,000 asset investment and is subject to a 30% income tax rate. Cash inflows are expected to average $600,000 before tax over the next few years; in contrast, average income before tax is anticipated to be $500,000. The company's after-tax accounting rate of return is:

A. 8.75%.
B. 15.00%.
C. 10.50%.
D. 12.50%.
E. None of the answers is correct.


Answer: A

Business

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An asset's book value is $18,200 on December 31, Year 5. The asset has been depreciated at an annual rate of $3200 on the straight-line method. Assuming the asset is sold on December 31, Year 5 for $15,200, the company should record:

A. Neither a gain nor a loss is recognized on this type of transaction. B. A loss on sale of $3,000. C. A gain on sale of $1800. D. A gain on sale of $3,000. E. A loss on sale of $1800.

Business

Corporations are not allowed to enter into contracts in their own name

Indicate whether the statement is true or false

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How is workforce empowerment critical to the success of lean systems? Give at least one example (from the textbook or an external resource) of how workforce empowerment has successfully supported lean systems.

What will be an ideal response?

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Which intervention answers the following question: « How can work be structured so that it is performed effectively and, at the same time, jobholders find the work personally rewarding and satisfying? »

a. Confrontation meetings b. Role negotiation c. Work redesign d. Workout

Business