Answer:
1. ANSWER: 20,000
2. ANSWER: $400,000
3. ANSWER: $28.45
Explanation:
1. If the average price for a new disposable cell phone is $20, and the total market potential for that product is $4 million;and Topco, Inc. has a planned market share of 10 percent. Then, Topco have the potential to sell in this market 10% * $4 million / $20 = 20,000 units of the proposed cell phone.
2. The planned market share in dollars is 10% * $4 million = $400,000
3. If Atlantic Car Rental charges $29.95 per day to rent a mid-size automobile. Pacific Car Rental, Atlantic's main competitor, just reduced prices on all its car rentals. In response, Atlantic reduced its prices by 5 percent.
Now Atlantic's new cost of rental for mid-size cars is: 95% of $29.95 = $28.45
Answer:
APY is when interest is added to an account that is earning the money so I belive that is the answer
Answer:
are records of increases and decreases in individual financial statement items
Explanation:
The accounts are the day to day records that the individual, company and the business organization handles. It can be classified into various accounts like - cash accounts, purchase accounts, sales accounts, etc
The cash account is the account which records the payment and receipt of the cash
And, the purchase and sales accounts tracks the purchase of the fixed asset, inventory, and sales of the fixed asset, inventory, etc
There is an end number of transactions that can be either increase or decrease
Answer:
Devalue its currency
Explanation:
Exchange Rate is the conversion rate of domestic & foreign currency.
Eg $1 = _ € .
Devaluation means deliberate fall in value of domestic currency in terms of foreign currency (increase in foreign exchange rate) , under fixed exchange rate by government.
Eg : $1 = 5€ - change to - $1 = 7€ . This implies dollar can purchase less amount of euro , and has depreciated.
However , this would also lead to reduce the cost of its exports in foreign (here European market) , because US $ has become cheaper in terms of their currency & hence so have been their goods.
Answer:
1. 45.5%
2. 13.3%
3. 7.2%
Explanation:
The formulas and calculations are shown below:
1. Gross margin = (Sales - cost of sales) ÷ (sales) × 100
= ($10.1 million - $5.5 million) ÷ ($10.1 million) × 100
= ($4.6 million) ÷ ($10.1 million) × 100
= 45.5%
Gross profit = Sales - cost of sales
2. Operating margin = (Gross profit - selling, general and administrative expenses - research and development - annual depreciation charges) ÷ (sales) × 100
= ($4.6 million - $460,000 or $0.46 million - $1.4 million - $1.4 million) ÷ ($10.1 million) × 100
= ($1.34 million) ÷ ($10.1 million) × 100
= 13.3%
Operating income = Gross profit - selling, general and administrative expenses - research and development - annual depreciation charges
3. Net profit margin = (Operating income - taxes) ÷ (sales) × 100
= ($1.34 million - $0.6097 million) ÷ ($10.1 million) × 100
= ($0.7303 million) ÷ ($10.1 million) × 100
= 7.2%
The income tax expense = Operating income × income tax rate
= $1.34 million × 45.5%
= $0.6097 million
