Answer:
Average rate of return= 10.17
%
Geometric return = 9.23%
Explanation:
<em>Geometric average return</em>
This is compounded annual rate of return which is used to measure the performance of an asset over a certain number of years. It helps to measure the return generated by an investment taking into account the volatility .
Unlike the arithmetic average the geometric average gives an idea of the real rate taking into account of volatility
The formula below
Geometric Return =(1+r1) (1+r2) ...... (1+rn)^1/n
Geometric Average return =
(1.12× 1.19× 1.21× 0.88× 1.26× 0.95)^(1/6) - 1 =0.09233168
Geometric return =0.0923
× 100= 9.23%
Geometric return = 9.23%
Average rate of return
<em>The average return is the sum of the returns over the years dividend by the Numbers of returns</em>
Average return = sum of return / No of returns
(12% + 19% + 21% + (12%) + 26% + (5%))/6 =10.17
%
Average rate of return= 10.17
%
Geometric return = 9.23%
A Standard Cost Variance is a difference between the actual cost incurred and the standard cost against which it is measured.
The main difference between normal costing and standard costing is that normal costing uses actual costs for material and direct labor costs, whereas standard costing uses predefined costs for these two items. That's it.
This difference between standard cost and actual cost is called variance. An unfavorable variance occurs if the actual cost is higher than the standard.
The main difference between marginal costing and standard costing is that marginal cost is a subset of standard cost and standard is a superset of marginal costing. Description: Standard costing is a costing method and there are two types of costing methods.
Learn more about Standard Cost Variance here: brainly.com/question/25790358
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<u>Answer and Explanation:</u>
Caramel Corporation outstanding share are 5000
Caramel Corporation distributes $145,000 in an exchange for 1000 number of shares in a qualifying stock redemption.
Given : caramel Corportaion has E&P of around $300,000.
E&P attributable to 1000 number of shares = 
Therefore, the consequence of this redemption are $60,000 charge to E&P and reduction in caramel Corporation paid-in capital account is $85000 ($145000 subtract $60000)
The answer in the space provided is second. The diminishing
returns set happens when there is an increase with the input variable and by
this, it will likely cause the output to decrease as the marginal increase and
in the same time, other inputs remains to be in constant.
Answer:
Annual demand (D) = 1,600 units
Ordering cost per order (Co) = $16
Holding cost per item per annum (H) = $8
EOQ = √2Dco
H
EOQ = √2 x 1,600 x $16
$8
EOQ = 80 units
Explanation:
EOQ is the square root of 2 multiplied by annual demand and ordering cost per order divided by holding cost per item per annum.
