Bella Vista Service Co Based on the Above Information,which One of the Following Statements

question 51

Multiple Choice

Bella Vista Service Co.is a computer service center.For the month of May,Bella Vista Service Co.had the following operating statistics: (CMA adapted)
$$\begin{array} { | l | r | } \hline \text { Sales } & \$ 450,000 \\\hline \text { Operating income } & 25,000 \\\hline \text { Net profit after taxes } & 8,000 \\\hline \text { Total assets } & 500,000 \\\hline \text { Stockholder's equity } & 200,000 \\\hline \text { Cost of capital } & 6 \% \\\hline\end{array}$$ Based on the above information,which one of the following statements is correct?

• A) Bella Vista Service Co.has a return on investment of 4%.
• B) Bella Vista Service Co.has a residual income of $(2,000).
• C) Bella Vista Service Co.has a return on investment of 5.6%.
• D) Bella Vista Service Co.has a residual income of $(22,000).

Appreciate the mechanisms businesses use to manage risk, particularly through derivatives.

Acknowledge the regulatory environment affecting corporations, especially post-financial crises.

Describe the characteristics and functions of financial intermediaries.

Understand the theoretical outcomes of corporate takeovers.

---

Definitions:

Basal Ganglia

A group of nuclei in the brain involved in coordinating movement and behavior control.

Right Hemisphere

Refers to the right side of the brain, associated with spatial abilities, facial recognition, and processing of nonverbal content.

Movement Excitation

The process of stimulating muscle fibers to contract, leading to movement.

Movement Inhibition

The suppression or delay of an action or movement, which can be a voluntary decision or a result of neurological mechanisms.