Question: The current controllable margin for Henry Division is $93000. this current cipe Fe $300,000. The division is considering purdhasing equipment for $90 000 that will

The current controllable margin for Henry Division is $93000. this current cipe Fe $300,000. The division is considering purdhasing equipment for $90 000 that will increase annual controllable margin by an estimated $15000. If the equipment is purchased, that will happen to the return on investment for Henry Division? A decrease of 3.3%% An increase of 16.19% A decrease of 13.3% A decrease of 7:2%

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!

The current controllable margin for Henry Division is $93000. Its current operating assets are $300000. The division is considering purchasing equipment for $90000 that will increase annual...

Question 29 The current controllable margin for Henry Division is $93,000. Its current operating assets are $300,000. The division is considering purchasing equipment for $90,000 that will increase...

Question 9 1p The current controllable margin for Henry Division is $93,000. Its current operating assets are $300,000. The division is considering purchasing equipment for $90,000 that will increase...

Accounting The current controllable margin for Henry Division is $93000. Its current operating assets are $300000. The division is considering purchasing equipment for $90000 that will increase...

The current controllable margin for Henry Division is $93,000. Its current operating assets are $300,000. The division is considering purchasing equipment for $90,000 that will increase annual...

Swifty Corporation recorded operating data for its Cheap division for the year as follows Swifty requires its return to be 10%. What is the ROI for the year? 5%20%31%8% The current controllable...

1. Marigold Corp. produces 5000 units of part A12E. The following costs were incurred for that level of production: Direct materials $ 55000 Direct labor 160000 Variable overhead 75000 Fixed overhead...

MESSACE MY INST AQuestion 30 The current controllable margin for Henry Division is $138000. Its current operating assets are $300000. The division is considering purchasing equipment for $90000 that...

The current controllable margin for Henry Division is $63000. Its current operating assets are $300000. The division is considering purchasing equipment for $90000 that will increase annual...

The current controllable margin for Henry Division is $123000. Its current operating assets are $300000. The division is considering purchasing equipment for $90000 that will increase annual...

Which of the following is a difference between least absolute deviations (LAD) and ordinary least squares (OLS) estimation? a. OLS is more computationally intensive than LAD. b. OLS is more sensitive...

When does a country become an exporter of a good? An importer?

If the net present value of a projoct is zero based on a discount rate of 2 6 % then the internal rate of return is: A . equal to 2 6 % B . Less then 2 6 % C . Greater than 2 6 % D . cannot be...

Determine the major differences between U.S. GAAP and IFRS disclosure reporting requirements related to each separately reportable operating segment. Next, give your opinion as to whether either U.S....