This is a FOUR-PART question: 1. DEFINE debt ratio (for 2 po…
This is a FOUR-PART question: 1. DEFINE debt ratio (for 2 points) 2. STATE the equation to calculate the debt ratio (for 2 points) 3. EXPLAIN briefly what the bad debt ratio is used for (for 2 points) 4. STATE the equation to calculate the bad debt ratio (for 2 points)
Read DetailsTHIS IS A THREE-PART QUESTION. Each part is worth 3 points….
THIS IS A THREE-PART QUESTION. Each part is worth 3 points. You are reviewing a contract for your business. One of the paragraphs states: “To the fullest extent permitted by law, each party agrees to indemnify and hold harmless the others with respect to any loss, damage or claim resulting from or relating to that party’s negligent acts or omissions or those of its representatives.” 1. What are statements like this called? 2. What does this mean? 3. Why are statements like this put into contracts?
Read DetailsThis is a FIVE-PART question: Review the document pictured b…
This is a FIVE-PART question: Review the document pictured below. (It is retyped after the questions if you have trouble viewing the picture.) (3 points for each question). 1. What kind of financial report is this? 2. What do reports like this show? 3. What were the total operating expenses? 4. How are the gross profits calculated? 5. What is the gross profit margin for this business? ============================================================================================= Sales $800,000 Cost of goods sold (550,000) Gross profits $300,000 Operating expenses: Marketing expenses $90,000 General and administrative expenses 80,000 Depreciation 30,000 Total operating expenses $200,000 Operating profits $100,000 Interest expense (20,000) Profits before taxes $80,000 Income taxes (25%) (20,000) Net profits $60,000 Dividends paid (15,000) Addition to retained earnings $45,000
Read Details