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Taylor and King,CPAs installed a new computer system.When the needs of the various divisions were analyzed,it was determined that the Audit Division would require 40% of the capacity,the Tax Division would require 25% of the capacity,and the Business Consulting Division would require 35% of the capacity.The computer system will cost $240,000. How much of the computer system's cost will be allocated to the Tax Division?
Retention Ratio
The proportion of net income that is retained by a company rather than distributed to its shareholders as dividends, indicating how much profit is reinvested.
Net Income
The amount of money remaining after all operating expenses, taxes, and interest have been deducted from total revenue.
Total Assets
The sum of all assets owned by a company, including cash, inventory, property, and equipment.
Dividend Payout
The portion of net income paid to shareholders as dividends, usually expressed as a percentage.
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