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2 years ago

When the activity level increases by 15%, net operating income in the flexible budget will ordinarily increase by?

1 answer:

4 0

When the activity level increases by 15%, net operating income in the flexible budget will ordinarily increase by -more than 15% b/c fixed costs do not increase with changes in activity.

<h3>What is Net operating income?</h3>

Net income in business and accounting is an entity's revenue less costs, depreciation and amortization, interest, and taxes for a certain accounting period..

Net Operating Income, or NOI for short, exists a formula those in real estate use to quickly calculate the profitability of a particular investment. After deducting essential operational costs, NOI calculates the revenue and profitability of investment real estate property.

By deducting all annual expenses from income, the NOI formula determines how profitable a potential investment property is over the course of a single year.

After all costs have been deducted, operating profit displays a company's earnings, excluding the cost of debt, taxes, and some one-time expenses.

Net income, on the other hand, represents the profit remaining after all costs incurred in the period have been subtracted from revenue generated from sales.

Hence, When the activity level increases by 15%, net operating income in the flexible budget will ordinarily increase by -more than 15% b/c fixed costs do not increase with changes in activity.

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Vinvika [58]

Answer:

Letter B is correct. <u><em>Sales budget.</em></u>

Explanation:

The sales budget is characterized by a company's sales expectations for a given budget period.

Organizations typically present the sales budget in monthly or quarterly format, with relevant information coming from a variety of sources. The calculation is made according to the number of units sold in the first line, the expected average price in the second line and the total sales in the third line. It is important to remember that when there are marketing promotions there may be a unit price adjustment that must be specified in the sales budget.

So a well-crafted sales budget ensures the quality of offering the right price on the right product and quantity at the right time and place. For this is one of the essential steps for control and success of an organization, as it relates to the marketability of purchasing consumer goods and services.

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3 years ago

During the first two years, supplies, inc. drove the company truck 15,000 and 22,000 miles, respectively, to deliver merchandise

Masja [62]

$175,000-$25,000=$150,000
$150,000:10=$15,000
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That amount would be $120,000

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3 years ago

A pattern of relationships and accountability between a superior and his or her subordinates is established by the process of:

crimeas [40]

Delegation of Authority

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Often the delegation of authority looks like this:
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3 years ago

Larry's parents divorced when he was 5. His father moved out of the area, and his mother is kept busy with trying to keep a roof

Aleks [24]

Answer:

The correct word for the blank space is: Permissive.

Explanation:

Permissive parenting is the style by which parents allow their children to do what the children consider best for them, even if it is not necessarily correct. Under this approach, parents are seen more like friends since they do not provide the children with a well-established set of rules.

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3 years ago

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Marrrta [24]

Answer:

The interest payable on the loan is $5,000,option C

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The company has taken custody amount for 2 months (from November 1 2021 to 31 December 2021),hence it should recognized an interest payable for 2 months,which is computed thus:

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3 years ago