Answer:
The correct answer is - No, rapid and sustained economic growth is a modern phenomenon.
Explanation:
Economic growth is the increase in the income or value of final goods and services produced by an economy (usually from a country or region) in a given period (usually in a year).
Broadly speaking, economic growth refers to the increase of certain indicators, such as the production of goods and services, increased energy consumption, savings, investment, a favorable trade balance, increased calorie consumption per capita, etc. . The improvement of these indicators should theoretically lead to a rise in the living standards of the population.
Answer: Most tax breaks reduce taxable income, but reducing taxable income below zero does not reduce the tax bill.
Explanation:
Tax breaks can be used to reduce your taxable income sometimes all the way to zero. This however simply means that you don't have to pay income tax but does not mean that there won't be other taxes to pay.
Because of these additional taxes left to pay, a person will still pay certain taxes even if their taxable income is below zero. Tax expenditures therefore do not help much with a federal tax bill of zero.
Answer:
1) Colt Carriage Company
Income Statement
For the month ended April 202x
Revenues:
- Adults passengers $186,300
- Children $81,000
- Total revenues $267,300
Variable costs:
- City fees $26,730
- Souvenirs $7,425
- Brokerage fees $11,340
- Carriage drivers $52,650
- Total variable costs <u>$98,145</u>
Contribution margin $169,155
Period costs:
- Depreciation $2,900
- Horse leases $48,000
- Marketing expenses $7,350
- Payroll expenses $7,600
- Total period costs <u>$65,850</u>
Operating profit $103,305
2) If the total amount of passengers increase by 10%, then all variable costs will increase by 10% except brokerage fees which would increase only by 6%. Revenues should also increase by 10%. Period costs should not change.
Contribution margin should increase by 10.29% and operating profit would increase by 16.81%.
Explanation:
since the information is not complete, I looked it up:
Revenues
13,500 passengers:
8,100 x $23 = $186,300
5,400 x $15 = $81,000
total $267,300
variable costs:
fees paid to the city 10% of total revenue
souvenirs $0.55 per passenger
brokerage fees 60% of total tickets x $1.40
carriage drivers $3.90 per passenger
fixed costs:
depreciation $2,900
horse leases $48,000
marketing expenses $7,350
payroll expenses $7,600
Given: Variable Cost Fixed Cost
per haircut per month
base salary 9660
manager bonus 530
commission 5.92
advertising 270
rent 940
barber supplies 0.30
utilities 0.25 180
magazines 25
Total 6.47 11605
Revenue 11.47
Break even point in unit = Fixed expenses per month / Contribution margin per month.
Break even point in unit = 11,605 / (11.47-6.47) = 11,605 / 5 = 2,321 haircuts
Break even point in $ = Fixed expenses / Contribution margin ratio
Break even point in $ = 11,605 / (5/11.47) = 11,605 / 0.44 = 26,375
Net Income = (Contribution Margin * # of haircuts) - Fixed expenses
Net Income = (5 * 2,380) - 11,605 = 11,900 - 11,605 = 295