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stiks02 [169]
2 years ago
11

Adams, Inc. has sales of $100,000 with a contribution margin of $60,000 and net income of $20,000. Baron, Inc. has sales of $110

,000 with a contribution margin of $44,000 and net income of $22,000. Which of the following statements are correct? Multiple select question. If sales fall, Baron will experience a greater decrease in income than Adams. Baron's net income grows twice as fast as its sales. Adams has a higher degree of operating leverage than Baron.
Business
1 answer:
Morgarella [4.7K]2 years ago
7 0

The true statement is that Adams has a higher degree of operating leverage than Baron.

<h3>What is a operating leverage?</h3>

The  cost-accounting formula is used to measures the degree a project can increase the operating income by increasing revenue.

Here, the degree of operating leverage is for Adams, Inc is <u>3</u> and for Baron, Inc. is 2.

Hence, the true statement is that Adams has a higher degree of operating leverage than Baron.

Therefore, the Option C is correct.

Read more about operating leverage

<em>brainly.com/question/15869128</em>

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What does it mean to do time analysis which is one of the principles referred to ?
Whitepunk [10]
Data Analysis - Process. Data Analysis is a process of collecting, transforming, cleaning, and modeling data with the goal of discovering the required information. The results so obtained are communicated, suggesting conclusions, and supporting decision-making.
3 0
3 years ago
Tracy Company, a manufacturer of air conditioners, sold 270 units to Thomas Company on November 17, 2021. The units have a list
coldgirl [10]

Answer:

November 17, 2021

Dr. Inventory              $81,000

Cr. Account payable $81,000

November 26, 2021

Dr. Account Payable $81,000

Cr. Discount Income $2,430

Cr. Cash                     $78,570

December 15, 2021

Dr. Account payable $81,000

Cr. Cash                     $81,000

Explanation:

Sales Amount = 270 units x $400 = $108,000

Discount = $108,00 x 25% = $27,000

Net Sales = $108,000 - $27,000 = $81,000

Terms of sale 3/10, n/30 means there is a discount of 3% is available on payment of due amount within discount period of 10 days after sale with net credit period of 30 days.

Payment made on

November 26, 2021

As the payment is made within discount period, so discount will be availed

Discount = $81,000 x 3% = $2,430

Cash received = $81,000 - $2,430 = $78,570

December 15, 2021

As the payment is made after discount period, so no discount will be availed.  Full payment of $81,000 will be made.

3 0
3 years ago
Assume that you are on the board of directors of a company that has decided to buy 80 percent of the outstanding stock of anothe
kati45 [8]

Answer and Explanation:

Insider trading means buying or selling the listed shares based on confidential information which is not yet public. This practice is done by the persons who are part of an organization like auditors, employees, directors, etc., and are aware of the confidential information. Hence, it's an unethical and illegal activity if anyone does insider trading and enjoys personal gain on such trading. Hence, if an investor planned to invest $10,000 in an organization for a personal portfolio in a given scenario, it leads to an ethical problem i.e. insider trading.

If Investor Planned to invest $500,000:

No, the answer will not be different if planned to invest $500,000 in an organization. Any investment transaction in an organization with the object to grow personally based on confidential information is deemed to be insider trading.

If the investor recommends to his brother to buy the shares

There is same ethical consideration in both the practice, whether purchasing a share for a personal portfolio or suggesting someone for purchasing the shares. Hence, if anyone suggests buying shares to another person (brother, etc.), it is also deemed unethical and illegal.

Who's called an investor?

An investor is any man or woman or other entity (which includes a company or mutual fund) who commits capital with the expectancy of receiving financial returns.

Is an investor an owner?

As a lending investor you aren't an proprietor. in case you purchase fairness in a organization you've got made an ownership funding. The go back you earn may be your proportional proportion of the enterprise's profits. The preliminary funding amount will stay tied up within the company's general fee.

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6 0
2 years ago
Consider how health insurance affects the quantity of health care services performed. Suppose that the typical medical procedure
IrinaK [193]

Answer:

hello your question has some missing part attached below is the missing demand curve

Answer :

1) the quantity of health procedures Individuals will demand is greater than the optimal quantity ( 20  procedures )

2)  quantity of medical procedure

3) $200

Explanation:

1) Based on the given demand and supply, the given transportation problem is  the quantity of health procedures Individuals will demand is greater than the optimal quantity ( 20  procedures )

2) A dummy quantity of medical procedure should be introduced

3) Total cost of optimal solution

optimal quantity of medical procedure ( Qd) * price of medical procedure(Qp)

= 20 * 100

= $200

4 0
3 years ago
6. What does Rose argue should be the last part of a presentation to the VC? Why?
Lubov Fominskaja [6]

Rose argued that the last part of a presentation to the VC should be " a wrap-up that leads to the final pitch."

David S. Rose is a prominent angel investor famous for being the founder and Chairman Emeritus of New York Angels.

In one of his entrepreneurship discourses, Rose claimed that the last part of a presentation to the VC should be the overall presentation in a short form that would comprise the main points of the all-around presentation.

Rose concluded that these key points should be the reason to convince a Venture Capitalist to invest in the business.

Hence, in this case, it is concluded that the last part of a presentation is crucial to convince a Venture Capitalist.

Learn more here: brainly.com/question/23471689

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3 years ago
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