What is roi based on nbv and based on gbv

Assignment Help Finance Basics
Reference no: EM13875297

Matthews Produce harvests and sells Florida oranges. Matthews has hired you to determine its return on investment (ROI) based on both net book value and on gross book value. You are given that profits are $2 million, the net book value (NBV) of operating assets is $10 million, and the gross book value (GBV) of these assets is $40 million. What is ROI based on NBV and based on GBV?

Reference no: EM13875297

Questions Cloud

Preliminary research plan : Preliminary Research Plan - For this assignment, you will create a plan and not an essay. The file you submit will have two parts. First, write a 1-2 page summary of your plan for the research essay
What was residual income for the quarter : The average net book value of assets during the quarter was $1.5 million. If the company has a required rate of return of 15 percent on investment, what was residual income for the quarter?
Describe the objectives of the initiative : In a written report describe the objectives of the initiative and the major action items they undertook in order to achieve, or work toward, that goal.  'For example, was the effort an outcome of a class action or unlawful discrimination suit? Or, wa..
Where financial information is displayed : Write an essay using the authoritive literature to discuss; does it matter where financial information is displayed? In your answer discuss, is information presented in the primary financial statements.
What is roi based on nbv and based on gbv : You are given that profits are $2 million, the net book value (NBV) of operating assets is $10 million, and the gross book value (GBV) of these assets is $40 million. What is ROI based on NBV and based on GBV?
Determine the angular velocity : A 15-g magnet D is released from rest in the position shown, falls a distance of 320 mm, and becomes attached at A to the 200-g steel bar AB. Assuming that the impact is perfectly plastic, determine the angular velocity of the bar and the velocity..
The firm''s owners are usually also its top managers : In a large corporation, the firm's owners are usually also its top managers.
North america and europe receive a triple vaccination : At the age of 14 months old, most children in North America and Europe receive a triple vaccination against three diseases:
Assess the impact of globalization on marketing activities : Assess the impact of globalization on marketing activities

Reviews

Write a Review

Finance Basics Questions & Answers

  Find the dividend per share

Find the dividend per share if the company has outstanding 20,000 cumulative preferred shares of $100 par share value at 5% and 450,000 common shares.

  Jiminy cricket removal has a profit margin of 9 percent

jiminy cricket removal has a profit margin of 9 percent total asset turnover of 1.15 and roe of 14.31

  Compute the return on assets for the bellagio segment for

mirage resorts inc. recently completed construction of bellagio hotel and casino in las vegas. total cost of this

  How much interest would you have to pay in the first year

Suppose you borrowed $12,000 at a rate of 9% and must repay it in 4 equal installments at the end of each of the next 4 years. How much interest would you have to pay in the first year?

  Alan had saved up 252000 how much more must he save each

1. if you deposit 15000 today and earn 8 annual interest how much will you have in 9 years?2. tiffany will receive a

  Determine difference in the maturity risk premiums

An shareholder in Treasury securities expects inflation to be 2.5 percent in Year1,3. 2 percent in Year 2, and 3.6 percent each year thereafter. Assume that the real risk-free rate is 2.75 percent,

  Profit by trading the stock

Apex, Inc is a biotechnology company that is about to announce the results of its clinical trials of a potential new cancer drug, If the trials successful, Apex stock will be worth $70 each share.

  What is the eoq that minimizes the total inventory costs

If the lead time to recieve orders of cheese is 3 days, calculate reorder point. What is the EOQ that minimizes the total inventory costs?

  What would the cost of that capital be

A company's perpetual preferred stockcurrently trades at $80 per share and pays a $6.00 annual dividendper share. If the company were to sell a new preferred issue,it would incur a flotation cost of 4%. What would the cost of that capital be?

  What are possible drawbacks associated with seeking advice

What are possible drawbacks associated with seeking advice from a financial planning professional? How might these concerns be minimized?

  Why is the commercial paper market available only to the

why is the commercial paper market available only to the most creditworthy

  What would be your advice to management

An investment with total costs of $10,000, will generate total revenues of $11,000 for one year. Management thinks that since the investment is profitable, it should be made. Do you agree?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd