Explain rate of return on total assets.

Q: Identify the cash flow series associated with production or service over thelife of the asset?

A: Definition: Cash inflows: The amount of cash received by a company from the operating, investing,…

Q: Explain how the cost of capital serves as a screening tool when using (a) the net present value…

A: Cost of capital:   Cost of capital is the required return necessary to make a capital budgeting…

Q: Define capital structure decision

A: The capital structure is an appropriate mixture of a firm's debt and equity used to fund its overall…

Q: Describe term net asset value (NAV)?

A: Net asset value (NAV): It describes an entity's net worth, which is measured as the complete value…

Q: What is return on assets(roa)?

A: In general terms, ROA is similar to  Return on Investment.

Q: Define capital requirement ratio (CR)

A: Answer: Capital requirements are nothing but regulatory guidelines for banks that specify the amount…

Q: Define capital components

A: It is the discounted rate that has been calculated by the company on the basis of which present…

Q: Define target capital structure

A: Target capital structure is a proportion of equity, debt, or preferred stock in such a manner that…

Q: Asset utilization ratios describe how capital is being utilized to buy assets

A: Assets refer to the resources that the company owned in the organization and utilized for the…

Q: what is return on assets?

A: Return on Assets (ROA):- It is an indicator of how profitable a company is relative to its total…

Q: What assets are viewed as current financial resources?

A:

Q: Define asset management ratios

A: Asset management ratio: It ascertains the estimation of the sales or revenues of an organization…

Q: Define Monetary assets and liabilities

A: SOLUTION:- The  term monetary assets and liabilities can be defined as the assets and liabilities…

Q: Define “Financial assets"; list them and explain their evaluation criteria in the balance sheet

A: A balance sheet is a financial statement that shows the assets, liabilities, and the shareholder…

Q: What are investment assets ?

A: Investment Assets: Investment assets are termed as tangible or intangible things that are acquired…

Q: Derivation of capital asset pricing model

A: The Capital Asset Pricing Model (CAPM) relates the returns on individual assets or entire portfolios…

Q: Determine the Total Assets value

A: Assets show the company's balance and the valuable resource controlled by the company. Assets can be…

Q: Define current operation income?

A: Current operation income otherwise called as operating income.Operating Income: Operating income is…

Q: the assets' risk is the asset returns a

A: Step 1   Covariance is a statistical measure of how two assets move concerning each other. It…

Q: Describe the Investment-Credit Decision—A Cash Flow Perspective.

A: Answer: Every lender and borrower shall have their own conditions based on their needs and wishes.…

Q: How can the Calculation of capital-recovery cost (with return)be done?

A: Capital Recovery Cost: When a company purchases or invest in some assets for the business…

Q: Define Return on assets.

A: Introduction: Return on Assets : Return on assest is a ratio which defines that how much profit…

Q: Determine Total Assets value?

A: Introduction: Assets: Any resource having monetary value called as Assets. Assets are of two types…

Q: Explain an example how to calculate accounting rate of return.

A: The accounting rate of return (ARR) is the percentage rate of return expected on investment or asset…

Q: Describe the rules of accounting rate of return.

A: The accounting rate of return (ARR) is the percentage rate of return expected on investment or asset…

Q: Explain the difference between capital assets, capital investments, and capital budgeting.

A:

Q: Explain return on assets (ROA)

A: The formula to compute return on asset as follows:

Q: how the returns on assets co-move?

A: Convergence means the movement of price of future contract towards spot price. The two price must…

Q: What is the difference between a cash basis and an accrual basis measure of performance?

A: Cash Basis :- It is an Accounting Method where Revenue and Expense are identify at the time of…

Q: Return on Total Assets

A: Return on Investment: Return on Investment is a measure of how well the company is performing using…

Q: asset turnover ratio?

A: Asset turnover ratio = Sales/((Total assets at the beginning of the year + Total assets at the end…

Q: Borrowing cost can be capitalized as cost of the assets when

A: Borrowing costs are costs related to amount borrowed or loans taken. This is the interest expense…

Q: Explain how to calculate asset turnover ratio.

A: Asset turnover ratio refers to how much sales is generated by every dollar invested in assets by the…

Q: Explain the relationship in formula Capital Assets Pricing Model

A: Capital Asset Pricing Model (CAPM): Capital Asset Pricing Model (CAPM) measures the relationship…

Q: Describe the Asset Management Analysis?

A: Asset management (turn over) ratios compare an organization's assets with its turnover. Asset…

Q: Analyze the rate ofreturn on assets

A: Accounting ratio:   It is a number expressed in terms of another to establish relationship among…

Q: These investments are initially recorded at purchase price plus transaction costs

A: These investments are initially recorded at purchase price plus transaction costs Answer - Financial…

Q: Total Assets value?

A: Total assets is the value of the assets which company is having at a particular date which company…

Q: Define the term capital investment.

A: Capital investment analysis: Capital investment analysis is the process by which management plans,…

Q: What is the relationship between current assets and currentliabilities?

A: Current assets: The assets which could be converted into cash within one year like accounts…

Q: Define the term, the return on invested capital (RIC)?

A: All investments are made keeping focus on the expected returns that can be generated from it. The…

Q: Return on Plan Assets?

A: Every business needs to incur expenses for paying retirement benefits to the employees. Companies…

Q: Explain how to calculate net realizable value.

A: Net realizable value refers to the total amount of money which a company will get from selling the…

Q: Define the term financial assets.

A: Financial Assets: Financial assets are referred to as assets that occur from contractual agreements…