The break-even for your food truck business is $37,500.
Breakeven quantity are the number of units produced and sold at which net income is zero
Breakeven quantity = fixed cost / price – variable cost per unit
Fixed cost is the cost that does not change with the unit of output. It remains constant regardless of the units of output produced.
Fixed cost of the business = $100,000 + $50,000 = $150,000
Variable cost is cost that varies with the units of output produced. Example are wages and cost of raw materials.
Variable cost of the business = $6.
Break-even = $150,000 / ($10 - $6) = 37,500
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Answer:
D. there are reasonable substitutes for most goods.
Explanation:
A monopoly is when there is only one firm operating in the industry. There are also no subsituites for goods and services produced by the monopoly. The monopoly sets the price for his product and earns economic profit in the long and short run.
There aren't a lot of monopolies in the real world because most goods have substitutes. Therefore, consumers can substitute the monopoly product for another product and there isn't just one firm operating in the industry.
The optimal capital structure can be realized if : Debt-equity ratio selected results in the lowest possible weighted average cost of capital.
- An optimal capital structure can be regarded as best mix of debt as well as equity financing which maximizes a company's market value.
- And as well minimizing its cost of capital, it can be realized when Debt-equity ratio that is been selected, gives the lowest possible weighted average cost of capital.
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Answer: all money in circulation throughout the economy
Explanation: apex
Answer:
$26.05
Explanation:
according to the constant dividend growth model
price = d1 / (r - g)
d1 = next dividend to be paid = d0 x (1 + growth rate)
d0 = dividend that was just paid
r = cost of equity
g = growth rate
1.5 x (1.045^6) / 12 - 4.5 = $26.05
