Gletchen Cough Drops operates two divisions. The following information pertains to each division for the year. Required
Question:
Gletchen Cough Drops operates two divisions. The following information pertains to each division for the year.
Required
a. Compute each division’s residual income.
b. Which division increased the company’s profitability more?
Transcribed Image Text:
Divislon A Division B $480,000 $300,000 $ 24,000 $160,000 Sales Operating income Average operating assets Company's desired rate of return $ 32,000 $200,000 10% 10%
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 60% (10 reviews)
a Division A Residual income 32000 10 x 200000 1200...View the full answer
Answered By
Muhammad Umair
I have done job as Embedded System Engineer for just four months but after it i have decided to open my own lab and to work on projects that i can launch my own product in market. I work on different softwares like Proteus, Mikroc to program Embedded Systems. My basic work is on Embedded Systems. I have skills in Autocad, Proteus, C++, C programming and i love to share these skills to other to enhance my knowledge too.
3.50+
1+ Reviews
10+ Question Solved
Related Book For
Survey Of Accounting
ISBN: 9781260575293
6th Edition
Authors: Thomas Edmonds, Christopher Edmonds, Philip Olds
Question Posted:
Students also viewed these Business questions
-
As at 30 September 20X3 the value of Dune's property in its statement of financial position comprised: Cost (useful life 15 years) $45 million $6 million Accumulated depreciation On 1 April 20X4,...
-
The following information pertains to two competitors, Superior Inc. and Michigan Corp. Superior Inc. reported sales revenues of $1,610,000 and Michigan Corp. reported sales revenue of $3,365,000....
-
The following information pertains to Satellite Company: Required: Present the operating activities section of the statement of cash flows for Satellite Company using the indirectmethod. Income...
-
Dun and Bradstreet have reported that nearly half of all Australian businesses operated with a negative cash flow over recent financial years. This figure is worrying as 80% of business failures are...
-
Steam enters a diffuser at 20 psia and 240F with a velocity of 900 ft/s and exits as saturated vapor at 240F and 100 ft/s. The exit area of the diffuser is 1 ft2. Determine (a) The mass flow rate of...
-
Upon spotting an insect on a twig overhanging water, an archer fish squirts water drops at the insect to knock it into the water (Figure). Although the fish sees the insect along a straight-line path...
-
Marta loves shopping for holiday gifts for her friends and family. This year she started looking for gifts early, in June. She hopes that the extra time will allow her to find the perfect gift for...
-
Rutherford Corporation has 20,000 shares of its $100 par value, 7 percent cumulative preferred stock outstanding and 100,000 shares of its $1 par value common stock outstanding. In Rutherfords first...
-
Aninvestor purchased a 364-day, $100,000.00 T-bill on its issue datefor $97,014.34.Afterholding it for 184 days, she sold the T-bill for a yield of1.77%.????Whatwas the original yiel 2 answers
-
Consider the portion of an excavator shown. At the instant under consideration, the hydraulic cylinder is extending at a rate of 6 in. /sec, which is decreasing at the rate of 2 in. /sec every...
-
Secor Educational Services had budgeted its training service charge at $120 per hour. The company planned to provide 30,000 hours of training services during the year. By lowering the service charge...
-
Howard Cooper, the president of Glacier Computer Services, needs your help. He wonders about the potential effects on the firms net income if he changes the service rate that the firm charges its...
-
What is the account balance of the following accounts as of February 14? Sales Sales returns and allowances Sales discounts
-
1. A capacitor with C = 0.25F is initially charged to a potential of 6V. The capacitor is then connected across a resistor and allowed to discharge. After a time of 5 103 s the potential across the...
-
If a professor projected 0 . 6 Watts of sound power uniformly in all directions, what is the difference in sound intensity level between two students that sat 3 . 2 m and 9 . 5 m away from the...
-
1. Lasers can be used to drill the hip socket for the insertion of an artificial hip joint. The use of lasers for surgery requires high accuracy for position and velocity response. Consider the...
-
b. How much interest is paid in the third year? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) c. How much total interest is paid over the life of...
-
Since 2000, two different towns had populations that changed exponentially. Town A's population was 42,680 at the beginning of 2000 and changed by 2.8% per year. Town B's population was 57,920 at the...
-
1. Shue, a partner in the Financial Brokers Partnership, has a 30% share in partnership profits and losses. Shue's capital account had a net decrease of $100,000 during 2008. During 2008, Shue...
-
Teasdale Inc. manufactures and sells commercial and residential security equipment. The comparative unclassified balance sheets for December 31, 2015 and 2014 are provided below. Selected missing...
-
This chapter defined and discussed accrual and deferral transactions. Complete the requirements below using the most recent financial statements available on the Internet for Netflix, Inc. Obtain the...
-
What are the three primary sources of business assets?
-
For each of the following events, determine the amount of freight paid by The Cake Shop. Also indicate whether the freight cost would be classified as a product or period (selling and administrative)...
-
Toby has lost valuable data on his computer a number of times due to system crashes caused by viruses. He decides to invest in a powerful antivirus program. When Toby buys the program, he will...
-
QUESTION 1 Which statement about referrals is true? OReferrals are only used in large organizations. OThe use of referrals tends to increase the likelihood of exposing an organization to differe OThe...
-
Question 3 (1 point) Buying a stock when it has reached a new low is a sure way to make money. a) True b) False
Study smarter with the SolutionInn App