STEP 1: Subtract each discount from 100% 100% - 5% = 95% 100% - 10% = 90% STEP 2: Multiply them together. 95% X 90% 0.95 X 0.90 = 0.855 ( Net price equivalent rate ) Net price = List Price X Net Price Equivalent Rate = ( $1,000 X 6 fireplaces ) X 0.855 = $5,130 d) What are the steps to calculate the single equivalent discount rate and how to get the trade discount? Firstly, we must compute the complement of each rate. Next, multiply all the complement rate as decimal and write the product as a percent. Then, subtract the product from 100% to get the equivalent single discount rate.
Accordingly, while preparing the Common Size income statement, total sales is taken as a common base and other items are expressed as a percentage of sales. Like this, in order to prepare the Common Size Balance Sheet, the total assets or total liabilities are taken as a common base and all other items are expressed as a percentage of total assets and
The continuing value for Calaveras has been estimated using the key value driver formula which was found out to be $ 7019.715. The total value of the firm has been calculated with the help of PV of cash flows and the continuing value and it shows an amount of
Efficiency Ratios The efficiency ratio is used to measure how the company uses its assets and liabilities internally, these ratios to measure the performance in short term. • Accounts Receivable Turnover This ratio used to measure the firm's effectiveness in extending credit and in collecting debts. The receivables turnover ratio is an activity ratio measuring how successfully a In collecting its AR during the year, if the company has AR turnover 2 that means the AR turned over two times during the year. Accounts Receivable Turnover= Credit sales AR average (assume that 75% sales are credit) AVON= 9.1 ULTA= 41.1 REVLON= 4.12 • Fixed Asset Turnover, Reflecting how efficiently a company has used its assets to generate revenue, a higher ratio indicate of greater efficiency in managing and investing fixed-asset. Fixed Asset Turnover= Net sales/ net assets EVON= 1.63 ULTA= 1.9 REVLON= .77 • Inventory turnover Inventory turnover is a ratio showing how many times a company's inventory is replaced over a specific period of time, the higher ratio the more success is the company in selling its inventory.
A good manager will make decision making based on the data from the surrounding them. Bayesian analysis is one of the models in risk assessment to help the manager in made a decision. Bayesian analysis is needed because the sources of this analysis are probability that usually exist in process or project. This paper is to highlight how Bayesian
In Being and Time, Martin Heidegger attempts to answer the question of Being through disposition, understanding, and discourse. This disposition or “state of mind,” intertwines with an understanding of future possibilities and creates a discourse, that possesses the potential for communication and language. Moreover, Heidegger employs the Dasien Theory to addresses how humans interact with entities, through the three dimensions of care: thrownness, projection and fallenness (cite). This interaction provides a cohesive historical reference, as well as a present tense, and enables the individual to seize the numerous future possibilities based on these interpretations of entities. Heidegger’s theory is valid in that it describes how most humans
Obtaining a holistic client view – the organisation can obtain an overall view of client needs and actions through the generated MIS reports. Supporting operations – the organisation can collect business intelligence that is valuable for the support and improvement of its operations and
It involves the step to step identification of those factors and the strategy that reflects the best match between them. It involves an assumption that says an effective strategy will maximize a firm’s strengths and opportunities but at the same time maximizes its weakness and threats. This is used in designing and selecting an effective strategy to be employed by the organizations. It is mostly used during strategic planning by the management of the organization. Management
In terms of controlling, the management of Marks and Spencer has frequent reporting of expenditures with costs to provide a form of feedback. The reactions of managers to such type of data rely on the expectations or the formal budget or planned targets. The management believes in collecting and assigning cost data that is being shifted away from control. There is a recognition related to the repetitive exercise of planning and re-planning for creating a full time job for accountants. The assessment and evaluation of cost data in the aspects of launching new product by Marks and Spencer is about gaining insights and learning ways for achieving the goals of organisation in most effective manner.