Parodies Corp. has a return on assets of 10 percent, a return on equity of 16 percent, and a dividend payout ratio of 40 percent. A. What is its sustainable growth rate? B. What is its internal growth rate?

Answers

Answer 1

The sustainable growth rate is 9.6%, while the internal growth rate is 6%.

A. The sustainable growth rate is defined as the maximum achievable growth rate for a company without borrowing any additional funds, while keeping its financial ratios constant. The equation for the sustainable growth rate is: Sustainable Growth Rate = Return on Equity x (1 – Dividend Payout Ratio)

Dividing the numerator by the denominator in the equation gives the sustainable growth rate: Sustainable Growth Rate = (0.16 x (1 – 0.4)) = 0.096 or 9.6%

B. The internal growth rate is defined as the maximum growth rate a company can achieve without any external financing while maintaining its current debt and equity ratios.

The formula for calculating internal growth is: Internal Growth Rate = Return on Assets x (1 – Dividend Payout Ratio)

Dividing the numerator by the denominator in the equation gives the internal growth rate: Internal Growth Rate = (0.10 x (1 – 0.4)) = 0.06 or 6%

These values imply that the company's growth rate would be higher if it took on external financing, such as debt or equity, to help fund its operations, while keeping its financial ratios constant.

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Related Questions

Adjusting entries are made before preparing _____ reports.
a) managerial
b) auditing
c) financial
d) all of the choices are correct

Answers

Answer:

D

Explanation:

All choices are correct!

Hope this helps! :)

A corporation needed a new warehouse; a contractor quoted a $250,000 price to construct it. The corporation believed that it could build the warehouse for $215,000 and decided to use company employees to construct the warehouse. The final construction cost incurred by the corporation was $240,000 but the asset was recorded at $250,000. This is in violation of the:

A-Cost principle

B-Time period assumption

C-Matching principle

D-Revenue recognition principle

E-None of these answers are correct

Answers

The correct answer is E-None of these answers are correct.

The violation described in the scenario does not align with any of the listed accounting principles. However, it is important to note that the situation may involve a violation of the cost principle, which states that assets should be recorded at their historical cost. In this case, recording the asset at $250,000 when the final construction cost was $240,000 could be seen as a violation of the cost principle.

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PLEASE HELP YOU DONT HAVE TO ASNWER ALL OF IT IF YOU CANT
1. Describe the nature and types of business.

2. What are the economic factors influencing the communication industry as a whole, and how does this impact the economic base?

3. Explain ethical conduct and describe one way you exhibit ethical conduct.

4. Describe copyright laws in relation to fair use of materials and duplication materials.

Answers

Answer:

All answer is nou XDDDDDDDDDDDDDD

According to the graph above, if the price of coffee falls while the consumer is in equilibrium at point a, which of the following will occur?
a) The indifference curve shifts to the right
b) Consumer balance does not change.
c) The budget line shifts. to the right only on the horizontal axis.
d) The consumer can buy more shoes with all of his income.

Answers

a)the indifference curve shifts to the right

why is it important to protect profit motive in a mixed economy

Answers

Answer:

A company's profit motive benefits consumers by ensuring the products and services they need are available at a high quality.

Explanation:

I looked it up, cause I don't know much about this stuff, but I hope it helps you!

what is the difference between the FBI and the CIA

Answers

FBI. The CIA (Central Intelligence Agency) mostly operates outside the United States to gather intelligence via a network of spies whereas the FBI (Federal Bureau of Investigation) predominantly operates within the U.S. to both gather intelligence as well as tackle federal crimes.

Answer:

The CIA (Central Intelligence Agency) mostly operates outside the United States to gather intelligence via a network of spies whereas the FBI (Federal Bureau of Investigation) predominantly operates within the U.S. to both gather intelligence as well as tackle federal crimes.

Explanation:

economists view pollution as an economic problem that arises because a. firms that pollute do not pay the full social cost of producing their output. b. the level of pollution declines as the economy grows. c. private enterprises always minimize the amount of pollution produced. d. profitable firms rarely pollute.

Answers

Economists view pollution as an economic problem that arises because:

A. firms that pollute do not pay the full social cost of producing their output.What is pollution?

It is the process by which toxic substances are introduced into the environment which cause damage to health and nature.

Within companies, it is the sum of the resources used to produce a good or social cost.  When these are not paid for, natural resources are used, which is when environmental pollution occurs; in addition, the large production of inputs allows companies to consume more goods and services, such as the exploitation of natural resources.

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g If a bank has a positive interest rate gap and interest rates decline, then the bank will experience a(n)

Answers

If a bank has a positive interest rate gap and interest rates decline, then the bank will experience a decrease in net interest income.

Positive interest rate gap means that the bank's interest-bearing liabilities (such as deposits) have shorter maturities than its interest-earning assets (such as loans). This means that the bank's interest income is more sensitive to changes in interest rates than its interest expenses. When interest rates decline, the interest income on the bank's assets will decline faster than the interest expense on its liabilities. This will result in a decrease in net interest income, which is the difference between interest income and interest expense.

This is because the bank will earn less interest income from its assets, but its interest expenses on its liabilities will remain relatively unchanged. Therefore, a bank with a positive interest rate gap will experience a decrease in net interest income when interest rates decline.

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What is another term for liability?
A. asset
B. notes
C. debt
D. accounts

Answers

Answer:

Another term for liability is debt, because both of these terms are accountable for money charges and assist needed :3

Explanation:

:3

When would you include an executive summary in a report?

Answers

Answer: Is B. When the report is 30 Pages long

Explanation: because I know

Pretend you are President of the United States. The Citizens and the economy of the USA need financial assistance to get back on their feet. List and describe three fiscal Policies you would initiate (describe each policy in 3 sentences):

Answers

Assuming i am the President of U.S. and the country needs a financial assistance to get back on their feet. The most likely fiscal Policies we would initiate are the:

contractionary fiscal policyexpansionary fiscal policy

What do we call a Fiscal policy?

In economics, a fiscal policy refers to a governmental decision to increase or decrease taxation and spending. Most time, a Fiscal and monetary policy are often used together to influence the economy. But the fiscal policy can affect a company’s growth, hiring ability and taxes.

We have 3 types of fiscal policy which includes a neutral, expansionary, and contractionary fiscal policy. The neutral policy is one where government takes no steps to provide economic support because it feels the economy is healthy and stable, the expansionary fiscal policy mainly involves increasing spending or cutting taxes to prevent or end a recession or depression and the contractionary fiscal policy involves cutting spending or raising taxes to slow down unsustainable economic growth.

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What factor reflects the ‘cost of money’? The ‘cost of money’ is reflected in the

Answers

Production opportunities, time preferences for consumption, risk, inflation.

Who’s the intended audience in news articles

Answers

Newspaper readers have typically been more educated, wealthy, and older than non-newspaper audiences.

Who is a research's primary target audience?

The people who read your work are referred to as the "audience." A term paper or thesis, for example, may be produced for a professor or committee of professors. More frequently, a paper is produced for peers in your field, for others who pursue similar academic interests.

Who are the media's intended consumers or target audiences?

A group of people who you've identified and wish to appeal to is what we refer to as a social networking target audience. Based on factors like age, occupation, income level, degree of education, geography, or behavior, for example. your target market for social media

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What is an example of goods

A hotel room

A good haircut

A television show

A computer game

Answers

Answer:

The correct answer would be D.) a computer game.

Explanation:

Have an amazing day yall.

An example of goods is a computer game.

Why 'a computer game'?

A haircut is a process done by someone on someone's hair. A hotel room is an accomodity. A television show is a visual programme appearing on TV. So, these can't be thought of as goods.

What are goods?

Goods are products, i.e., things that we make or grow and aim to sell. For example, we can exchange money for goods and services. So, a hotel rrom, a haircut, or a television show can't be referred as goods.

Thus, an example of goods is a computer game.

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If I am convinced that my own neighborhood is safer than it used to be, but that the crime rate in my society is at an all-time high, I am falling victim to...
A) Probability neglect
B) Shifting the burden of proof fallacy
C) Presumptive pessimism

Answers

Answer:

A) Probability neglect

Explanation:

You probably have lived there so long that you neglect to see what the true crime is, and you honestly could care less if its at it all time high

Answer:

A) Probability neglect

Explanation:

its neglectful if you do this

Business; an organization that uses resources to produce a product is known as a ?
O Private Company
O Shop
O Firm
O Enterprise

Answers

The answer would be a shop.

Answer:

Firm

Explanation:

Now you must decide who should be on the team. Kelly will be on the team as a matter of course, and you must choose three other GearUp employees to work with her.

Answers

Answer: The best choices would have been Deepak Menon, Ruby Coulbury, and Ethan Atkinson

Explanation:

Team work requires the best of those not only coming to the team with their talent and idea but those who'd be willing to put their everything to make sure the project being carried out is a success, failure to do so would just be having bunch of talented people with no passion but woould rather work for personal gain and fame. Choosing the best shouldn't just be what they can do but also how passionate are they. That's why the best choices would have been Deepak Menon, Ruby Coulbury, and Ethan Atkinson based on their passion accompanied with their talent.

Which type of adjusting entry is used to record a payment a company has not yet made for a service it received?
A. Deferred expense
B. Accrued revenue
C. Accrued expense
D. Deferred revenue

Answers

The accrued revenue can be defined as the  type of adjusting entry is used to record payment a company has not yet made for a service it received.

What is the accrued revenue?

This is the term that is used in expense accounting to refer to the type of revenue that is recorded at the period that sale is ongoing where the payment may not have been received.

This type of sales is one that would follow what is called the revenue recognition principle. It is one that would require that the revenue would have to be recorded at that period that it was earned.

Therefore the solution here is the accrued revenue as it is the  adjusting entry is used to record a payment a company has not yet made for a service it received.

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total revenue minus the explicit costs of production is _____ profit ____ total revenue minus the total ____ costs of production is accounting profit.

Answers

Total revenue minus the explicit costs of production is economic profit, while total revenue minus the total implicit costs of production is accounting profit.

Economic profit is a measure of a firm's profitability that considers both explicit and implicit costs. Explicit costs are the direct expenses that a business incurs, such as labor costs, material costs, and rent.

Implicit costs are the opportunity costs that arise from using resources for a particular purpose instead of their next best alternative use. Economic profit takes into account all of these costs and provides a more accurate picture of a firm's profitability.

Accounting profit, on the other hand, is a measure of a firm's profitability that only considers explicit costs. It is calculated by subtracting explicit costs from total revenue.

Accounting profit provides a more limited view of a firm's profitability, as it does not take into account the opportunity costs associated with using resources for a particular purpose.

In summary, economic profit provides a more comprehensive measure of a firm's profitability by considering both explicit and implicit costs, while accounting profit provides a more limited view by only considering explicit costs.

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Anna and Alex work at the local movie theater. Anna is always complaining about the working conditions at the theater, the long hours, and about most of the people that they have to work with. Although Alex does not approve of Anna's ongoing complaints and wants to tell Anna to quit, he does not. He lets her talk while he
concentrates on his duties. Which of the following traits is Alex demonstrating:

A. Interest and enthusiasm
B. Assertiveness
C. Self-control
D. Adaptability

Answers

Alex is shοwing οptiοn c) self-cοntrοl by nοt respοnding impulsively tο Anna's cοmplaints, even thοugh he disagrees with them.

What are cοmplaints?  

Cοmplaints are expressiοns οf dissatisfactiοn, displeasure, οr criticism regarding a prοduct, service, persοn, οr situatiοn. They can be made verbally, in writing, οr οnline and can range frοm minοr issues tο seriοus grievances. Cοmplaints are οften made tο seek resοlutiοn, redress, οr cοmpensatiοn fοr the perceived prοblem.

They can alsο serve as feedback fοr businesses οr οrganizatiοns tο imprοve their prοducts οr services. Cοmplaints can be handled thrοugh variοus means, such as custοmer service representatives, cοmplaint hοtlines, οnline fοrms, οr legal channels. Addressing cοmplaints in a timely and effective manner can help tο maintain pοsitive relatiοnships between businesses and custοmers and prevent negative publicity.

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What is from utility

Answers

Explanation:

Refers to how well a product or service meets the customer's needs

Which would help you the least when creating your own practice test?

Answers

Answer:

textbook chapter headings

Oddo's Pizza is a restaurant that recently implemented a new system to identify and gather information about its regular customers. It rewards these customers by giving them gift coupons and cash prizes. This practice is an example of _______. a. total quality management b. customer relationship management c. profit maximization d. organizational optimization

Answers

Customer is termed as the individual that consumes or uses the goods and services that are availed to them for their satisfaction or need fulfillment. The customers are known as the king of the market that decides the production of the goods and the services.

The correct answer for the blank is  b. customer relationship management.

Customer Relationship Management is termed as the process or the activities that manage the company's relationship and communications of the customers with the firm and manage to explore the potential customers or the new customers.

The main aim of CRM is to build and construct good relationships between the customer and the firm. It connects the corporate sector with the customers in order to let them know about their services.

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How are sales leads generate?

Answers

Answer:

A sales lead is identified via marketing and advertising, referrals, social media, networking and outreach, product trials, or consultations. A lead does not become a prospect until they've been qualified to determine their level of interest and fit as a potential customer

Explanation:

resorses from

https://blog.hubspot.com/sales/how-salespeople-can-generate-their-own-leads#:~:text=A%20sales%20lead%20is%20identified,fit%20as%20a%20potential%20customer.

sales are generatley cute because the cute angle

Which of the following choices incur speculative risk?

a.stocks

b.fire insurance on a house

c.options

d.life insurance


e.high interest savings account

Answers

Answer: correct option is A.

Explanation: A speculative risk can be defined as risk that is taken willingly either it results in profit or loss and the stocks involve in probability of gain and loss making it a speculative risk.

Stocks incur speculative risk. Therefore option A is correct.

What are Stocks?

A stock usually referred to as equity, is a type of investment that denotes ownership in a portion of the issuing company. Shares, also known as units of stock, entitle their owners to a share of the company's assets and income in proportion to the number of shares they possess.

Common stock and preferred stock are the two primary categories of stocks.

Owners of common stock are entitled to dividends and the right to vote at shareholder meetings.

Common stockholders often do not have voting rights, while preferred stockholders typically get dividend payments ahead of time and are given preference over common investors in the event of a firm bankruptcy and asset liquidation.

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A profit-maximizing firm hires labor in a perfectly competitive market. Labor is the only variable input, and the marginal product of the last worker hired is 10 units per hour. If the hourly wage is $20, the firm's marginal revenue:_______


a. Increases first and then decreases as more output is produced

b. Is $20

c. Increases as more output is produced

d. Is $2

e. Decreases first and then increases as more output is produced

Answers

The marginal revenue for this firm is $20 per hour, which is answer (b).

the marginal revenue of a firm in a perfectly competitive market is equal to the market price, which is also the hourly wage in this case, since the firm is hiring labor in a competitive market. the marginal product of labor is the additional output that is produced by hiring one more unit of labor, in this case, one more worker. the given marginal product of the last worker hired is 10 units per hour. this means that by hiring one more worker, the firm is able to produce an additional 10 units of output per hour.

to determine the profit-maximizing level of employment, the firm would hire workers until the marginal product of labor equals the hourly wage. in this case, the hourly wage is $20 and the marginal product of labor is 10 units per hour, so the firm would continue to hire workers as long as the value of the additional output produced by the last worker hired exceeds the hourly wage of $20.

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how do the pressures for cost reductions and pressures to be locally responsive cause conflicting demands on company strategies? what are some strategies a company can use to address the pressures for cost reductions and pressures to be locally responsive?

Answers

Firms use four basic strategies in global markets:

Global standardization

Localization

Transnational

International

In industries creating item type items that fill general requirements: needs that exist when the preferences and inclinations of customers in various countries are comparative if not indistinguishable

At the point when significant contenders are situated in minimal expense areas

Where there is tireless overabundance limit

Where buyers are strong and face low exchanging costs

Firms confronting these pressures need to separate their items and promoting procedure in every country

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HELP PLEASE!!!

Which of these are financial goals? Select the two correct answers.

1. Saving for college

2. Going shopping during sale season

3. Buying a new computer

4. Getting a credit card

5. Making a monthly deposit on your savings account

Answers

1 and 4.. so here’s why. One. Saving for college is good obviously bc when you apply to go to a college then you would only have to pay the price of the college that you didn’t save. Every penny adds up. 4. Getting a credit card can either limit the money that you spend and it can make a budget for you.. Hope this helps!! Have a good day!!!

Financial goals are targeted objectives individuals set to attain specific desired financial outcomes.

Saving for college is a prime example, involving allocating funds for forthcoming educational expenses. Similarly, making recurring deposits into a savings account constitutes a financial goal, fostering savings growth for future needs like emergencies or investments.

In contrast, the other options—such as shopping during sales, purchasing a new computer, and obtaining a credit card—may involve transactions but lack the inherent long-term financial purpose of savings, investment, or fiscal stability that characterizes genuine financial goals.

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Jeff, the owner of a business, withdrew $100 from the business for personal use. How would this affect the total equity of his business

Answers

Answer:

Jeff invests an additional $100 into his company from his personal checking account. How would this affect the equity of his business? Common stock would be increased and total equity would also increase J. Brown paid $40 to its stockholders.

The owner has effectively withdrawn part of their equity as inventory. The drawings account is a temporary account and is cleared at the end of each year either by a debit against the capital account, repayment by the owner or against the salary of the owner, depending on the circumstances of the original goods withdrawal.

Explanation:

Jeff, the owner of a business, withdrew $100 from the business for personal use. His total equity will get reduce. and his withdrawal from the business would rise.

What is a business?

A business is an organization that engages in commercial, industrial, or professional activities with the aim of earning a profit. The businesses come in various sizes and forms, including sole proprietorships, partnerships, corporations, and limited liability companies.

The primary objective of most businesses is to create and deliver products or services that meet the needs or wants of their customers while generating revenue and profits for the owners or shareholders.

Jeff who is  the owner of a business. If he withdrew $100 from the business for personal use. His total equity will get reduce.

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A key characteristic of a linear program is which of the following? The activity levels must be integer. The activity levels minimize the profit. The activity levels maximize the resource consumption. All of the above None of the above

Answers

The key characteristic of a linear program is none of the above. In a linear program, the objective is to maximize or minimize a linear function subject to linear constraints.

The activity levels are not required to be integers, although certain variations of linear programming, such as integer programming, do impose integer constraints on the variables. The activity levels are not necessarily aimed at minimizing profit or maximizing resource consumption; instead, they are chosen to optimize the objective function while satisfying the given constraints. Linear programming is a widely used mathematical technique for decision-making and optimization problems in various fields, such as operations research, economics, and management.

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Other Questions
Please help and thank you First National Bank Assets Liabilities and Net Worth US Treasury Bonds $450,000 Net Worth $500,000 Reserves (Cash) $175,000 Checkable Deposits $250,000 Loans $125,000 Second National Bank Assets Liabilities and Net Worth US Treasury Bonds $100,000 Net Worth $250,000 Reserves (Cash) $250,000 Checkable Deposits $100,000 Third National Bank Assets Liabilities and Net Worth US Treasury Bonds $900,000 Net Worth $1,000,000 Reserves (Cash) $350,000 Checkable Deposits $500,000 Loans $250,000The Required Reserve Ratio is 25% for all banks. Assuming that all the customers that have outstanding loans have used all of those additional funds to invest in new machinery for their businesses (therefore, the amount of Checkable Deposits is the true liability the bank has to its customers), then $_____________ is the resulting change to the loan creating potential of the whole system (these three banks) as a result of Second National Bank customers depositing an additional $400,000 in their Checkable Deposit accounts in new loans. while zoot suit takes place more than a decade before fences by august wilson, it explores several of the same themes regarding race and american society. what message is this play trying to express? what visuals or storytelling tactics does it use to do so? how do zoot suit and fences deal with the idea of race and culture differently? Draw a decision tree diagram and determine the expected payoff of your optimal choice for the following scenario (submit the decision tree in the following question): You are the new manager at Trader Today, everything at a store is on sale. The store offers a 20% discount.6.The regular price of a T-shirt is $18. What is the discount price?(3 Points)A. $17.80B. $15.80C. $14.40D. $3.60PLS HELP a landscaper is designing a park in the shape of a kite with a fountain in the center, F. AK = 28 ft, PF=48 ft and F=32 ft. He wants to install a walkway around the border of the park. The inside edge of the walkway will be edged with brick. The bricks are purchased in linear feet. How many linear feet of bricks should he purchaase? Who was Adam Smith?ITS A (He was a philosopher who promoted the idea of free enterprise.) A grocer bought sugar worth of 4500. He sold one-third of it at a pain of 10%. At what gainper cent must the remaining sugar be sold to have a gain of 12% on the whole? the slave code of 1705 was created by the house of burgesses, and it incorporated legislation from the previous century on slavery. Laura is one of the best website designers in the city. Marty and Laura have entered into a contract for Laura to design Martys website. After she begins working on the website, but before the website is completed, Laura is hired to design a website for another client for much moremoney. Laura refuses to complete designing Martys website, because she must focus all of her time on designing the website for her new client. She suggests that Marty hire another website designer to complete his website. Marty does not want to hire another website designer because, in his opinion, there is no one as good as Laura. Marty wants to sue Laura to force her to complete designing his website.Assuming the court finds that Laura has breached her contract with Marty, will the Court order Laura to complete the design of Martys website? Explain your answer by identifying the legal issue, stating the relevant law, and applying the law to the facts.PLEASE ELABORATE YOUR ANSWER FROM A LEGAL PERSPECTIVE TAKING INTO ACCOUNT CONTRACTUAL LIABILITY what happened one day when kondiba was having food?say in few words "lust eat and don't complain. Childrenin Africa are starving and would giveanything to have that plate of food."(How is this pathoss?) which speech pattern is a distrubed client displaying when they start to repeat phrases that others have just said Which of the following statement is INCORRECT? O Interest cover measures the number of times the operating profit is compared to interest expense. O High asset turnover ratio reflects a low level of capital intensity O Return on equity measures the amount of operating profit generated by a company's share capital and reserves. O Net profit after tax reflects a company's profitability after excluding the effects of interest and tax. Your baby brother has an ear infection. The doctor said there are probably 50,000,000 bacteria in his left ear. The penicillin the doctor prescribed will kill 13% of the bacteria every 6 hours. How many bacteria will be in your brothers ear in 10 days? Which of the following are characteristics of the behavioral model of organization design? Check all that apply. In an ideal organization, employees at all levels influence goal setting. In an ideal organization, employees are developed so they can achieve high performance and solve problems as they arise. In an ideal organization, employees are managed primarily through strict rules and fear of punishment. Organizations can be evaluated on various dimensions on a range from System 1 design to System 4 design.Which of the following are strengths of the behavioral model? Check all that apply. Employees know at all times exactly what is expected from them. Employees feel highly valued as workers and people, and they find the work environment satisfying. The organization may be more efficient when following this model. Use Pythagorean Theorem to solve for the value of y. Leave your answer in SIMPLIFIED radical form. summary of escape from lemoncellos library Which of the following can we get from plant stems? A. flax seed B.cotton C.carrots D.hay Its structure is considered to be like a large dirty snowballa) Cometb) Meteorc) Asteroidpls i rly dont know