Answer:
b. helps identify the variable within a project that presents the greatest forecasting risk.
Explanation:
Sensitivity analysis refer to the financial model that measures how the variable i.e. target one should be impacted and depend on the change in the other variable that we called as an input variable
In this, it would help to identify the variable that lies within the project and provide the high risk of forecasting
Therefore the option b is correct
Answer:
The correct answer is AE = C + I + G + NX.
Explanation:
Aggregate spending (in Keynes's opinion) is the key to economic activity, that is, what families, businesses and government plan to buy determines what companies will end up producing. In the first stage of the analysis, a simplified model excludes the government, assumes that there is no foreign sector, and that the level of real income or income (and not prices) is the main determinant of aggregate expenditure
Answer:
a) Regular coffee cups required to be sold = 4,690
b) Latte cups required to be sold = 2,010
Explanation:
As per the data given in the question,
For computing Contribution per mix :
Particulars Regular Coffee Latte
Sales price $1.60 $2.80
Less: variable cost $0.90 $1.70
Contribution $0.70 $1.10
Contribution per mix = ($0.70 × 70%) + ($1.10 × 30%)
= $0.82
Breakeven point at sales mix = Fixed cost ÷ Contribution per mix
=$5,494 ÷ $0.82
= 6,700 mixes
Requirement:
Cups of regular coffee for breakeven = Breakeven at sales mix × %of regular coffee sales
=6,700 × 70%
= 4,690 Cups
Cups of latte for breakeven = Breakeven at sales mix × %of latte sales
=6,700 × 30%
=2,010 Cups
Answer:
Yes, In situation of high risk credit will create more problem due to bankruptcy.
Explanation:
I Think if business will buy more credit in times of high risk then business will end up in stage of bankcruptcy because in that situation business will making poor profits and no revenue so it won't be able to pay back debt.
Answer: cost of units transferred out during the month=A. $45,000
Explanation:
Material costs =Number of units completed and transferred out x Cost per equivalent unit for material
= 9000 units x $2.00 = $18,000
Conversion cost = Number of units completed and transferred out x Cost per equivalent unit for conversion costs
= 9000 units x $3.00 = $27,000
Costs of u nits transferred out during the month = Conversion costs +Material costs
= $18,000 + $27,000
$45,000