Reference no: EM131818209
Question - Return on investment and residual income The Newburg Flyers operate a major sports franchise from a building in downtown Newburg. The building was built in 1940 at a cost of $5,000,000 and is fully depreciated so that it is shown on the company's balance sheet at a nominal value of $1. The land on which the building was built in 1940 was purchased in 1935 for $10,000 and is valued at this amount for balance sheet purposes. The franchise, which is the company's only other major investment, cost $100,000 in 1940. Following GAAP at the time of the purchase, the franchise cost has now been fully amortized. The current assessed value of the building is $200,000. The assessed value of the land, which is located in a prime urban area, is $20,000,000 and reflects the net value of the property if the current building is demolished and replaced with an office and shopping complex. The current value of the franchise, assuming that the league owners would approve a franchise sale, is $50,000,000.
Ignoring taxes in this calculation, if the team earns an income of approximately $3,000,000 per year, what is the return on investment using net book value and historical cost as the measures of investment?
Explanatory and response variables seem
: a. Based on the title, tell what type of variables (quantitative or categorical) the explanatory and response variables seem to be.
|
Crimes against persons in the larger population
: The U.S. government published information on the number of hate crimes involving vandalism and the number of hate crimes against persons
|
Describe the competitive dynamics
: How would you describe the competitive dynamics? Would you want to enter this market, why or why not?
|
How core body temperature changed over time
: a. A scatterplot was used to see how core body temperature changed over time.
|
What is the return on investment using net book value
: If the team earns an income of approximately $3,000,000 per year, what is the return on investment using net book value and historical cost
|
Temperatures of the mice rose steadily
: When the hydrogen sulfide was removed, temperatures of the mice rose steadily back to 38 degrees by the end of 3 hours. Report the approximate slope
|
Valued primarily using sales of comparable homes
: Single-family homes are valued primarily using sales of comparable homes. Commercial real estate (CRE) property valuation is primarily based on:
|
How should the slope for this model be denoted
: If one teenager weighs 10 pounds more than another, on average how many more milligrams of caffeine can he or she safely consume per day?
|
What is the residual income using net book value
: If the team earns approximately $3,000,000 per year, what is the residual income using net book value and historical cost as the measures of investment
|