The selling price given as = $ 15
The cost per CD is = $ 11
The total profit = Selling price - Cost
Total profit per CD = $ 15 - $ 11
Total profit per CD = $ 4
The markup on selling price is calculated as - Total profit ÷ Selling price × 100
Markup on selling price = $ 4 ÷ $ 15 × 100 =26.6666 % or 27 %.
Answer:
Production Oriented
Explanation:
A business that practices a manufacturing strategy tends to ignore the needs of its consumers and only focus on making a quality product effectively, called Production oriented company.
In this case, PPG Industry only concentrates on making a high-quality windshield, and ignore the purchasing power of their customers, also their scientist ignore the color choice of the consumer.
Answer:
(D) George, Capital will increase by $6,700 and Ben, Capital will increase by $3,100.
Explanation:
Transaction for the event
Dr. Equipment (Asset) 9800
Cr. George (Capital A/c) 6700
Cr. Ben (Capital A/c) 3100
So.
George, Capital will increase by $6,700 and Ben, Capital will increase by $3,100 on the basis of their contribution in the purchase of equipment. So option D is true based on this event.
Answer:
The portfolio’s new beta will be 1.125
Explanation:
In this question, we are interested in calculating the portfolio’s new beta given the value of the beta of the stock which is used in replacing it.
We apply a mathematical approach here.
Mathematically;
Portfolio beta=Respective beta * Respective investment weight
=(50,000/200,000*1.5)+(50,000/200,000*0.8)+(50,000/200,000*1)+(50,000/200,000*1.2)
= 0.375 + 0.2 + 0.25 + 0.3 = 1.125
