Answer:
<h3> <em>Buyer's point of view of the best quality of a product is based on its differentiation and competition. Therefore the product that has the best quality is the one which satisfies buyer's needs when used.</em></h3>
Answer:
(a) The call price would decrease (b) $8 per share (c) $6 per share
Explanation:
Solution:
The Call option is the right to sell a specified security at a specified price on a future date.
(a) The value of call option/ price will decrease
Since after payment of dividend, the market price of share will decrease
Hence, value of call option will decrease
(b)The Intrinsic Value = Market Price - Strike price
= $50 - $42
= $8 per share
(c)The time Value = Option Premium - Intrinsic Value
= 14-8
= $6 per share
Answer:
$635,000 and : 34%
Explanation:
Margins of safety is the difference between expected sales and the break-even point.
For Zhao, expected sales are 10,000 units
The break-even points in units = fixed cost/ contribution margin per unit
fixed costs = $429,000
Contribution margin per unit = selling price - variable costs per unit
=$187 - $122
=$65
break-even point in units = $429,000/$65
break-even point = 6600 units
Margin of safety = 10,000 - 6600 units
=3400 units
In dollars is equal to margin of safety in units x selling price
=3400 x 187
<u>=$635,000</u>
as a percent of expected sales.
=3400/10000 x 100
=0.34 x 10,000
=34%
Answer:
total cost of goods sold = $2215
Explanation:
given data
inventory = 8 units
cost = $200
purchased = 20 units @ 205 each
to find out
amount will be reported as cost of goods sold for the 11 units that were sold
solution
we know as per FIFO method sold unit are from the 8 unit
so beginning inventory on October = 8 × 200 = $1600
and other 3 unit purchase are = 3 × 205 = $615
so
total cost of goods sold are = 1600 + 615
total cost of goods sold = $2215
Answer:
C) meet the information needs of a company and other financial statement users
Explanation:
A chart of accounts displays the accounts used by a company to classify each class of items on which cash is being spent or earned or its equiv.The account chart lists all accounts that are used in an organization's overall directory. The chart is used to add information into the financial reports of a company through accounting software. The chart usually is ironed by account number in order to easily locate particular accounts.