Answer: D.) Allocate money to programs and projects
Explanation: just took the test. Quizlet.
Answer:
Break even point in dollar sales = $1,050,000
Explanation:
Break Even Point in dollar sales = Fixed Cost/ Contribution margin percentage
Contribution margin percentage = (Contribution margin/ Sales) X 100
Here we have for the year 2017
Contribution margin = $194,750
Sales = $779,000
Contribution margin percentage = ($194,750/$779,000) X 100 = 25%
Break even point in dollar sales = Fixed Cost $262,500/25%
= $1,050,000
Scenario 2 would be correct
Answer:
Price paid to the bondholder $1045
Explanation:
given data:
Par value = $1000
percentage of corporate coupon = 4.5%
call premium is for one year coupon payments
call premium = 1 year coupon
call premium = 1000 x 4.5% = 45
Price paid to the bondholder = Par value + call premium
putting all value to get the total price to be paid to bondholder
Price paid to the bondholder = 1000 + 45 = $1045
