Answer:
Break-even point (units)= Total fixed costs / Weighted average contribution margin
Explanation:
Giving the following information:
The weighted average contribution margin for all three products is $3.05 per unit. ABC's total fixed costs are $35,000
<u>With the information provided, we can only calculate the break-even point in units for the whole company using the following formula:</u>
Break-even point (units)= Total fixed costs / Weighted average contribution margin
Break-even point (units)= 35,000/3.05
Break-even point (units)= 11,475
<u>Now, imagine the following sales mix:</u>
X= 0.25
Y=0.40
Z=0.35
<u>We can determine the number of units for each product:</u>
X= 11,475*0.25= 2,869
Y= 11,475*0.4= 4,590
Z= 11,475*0.35= 4,016
Answer:
Operating costs = $7,000 x 5 years = $35,000
Operating costs = $2,600 x 5 years = $13,000
Explanation:
Operating costs = $7,000 x 5 years = $35,000
Operating costs = $2,600 x 5 years = $13,000
The current copier should be replaced. The incremental analysis shows that net income for the five-year period will be $3,000 higher by replacing the current copier.
<u>Solution and Explanation:</u>
<u>Calculation of Elucid’s cost of recovery deduction for the year 2019 and 2020
</u>
Cost of recovery deduction for 2019 = Assets value * depreciation rate for the first year
( it has calculated by using MACR table)
= $ 25221.85
Therefore, the cost of recovery of deduction in 2019 is $25221.85
<u>Cost of recovery deduction for 2020 = Assets value * depreciation rate for the first year
</u>
( it has calculated by using MACR table)
= $42871.85
Therefore, the cost of recovery of deduction in 2020 is $42871.85
Answer:
Case 1 = $420 million
Case 2 = $280 million
Case 3 = $350 million
Explanation:
As per the data given in the question,
Annual value by one distributor = $420 million per year
Annual value by two distributor = $560 million per year
Case 1)
The marginal value of first distributor is more than second
So when negotiating the value, it is = $560 million - $420 million = $140 million
and this value would be distribute between both. so each will get = $140 million / 2 = $70 million
and you would expect to capture $420 million of this deal
Case 2)
As distributors are run by government, so negotiation will be done with both the distributor at same time and margin would be $560 million and you would be grabbed = $560 million ÷ 2 = $280 million
Case 3)
In this case marginal amount of contact = $560 million - $140 million = $420 million
and half of it = $420 million ÷ 2 = $ 210 million, which is the amount to be offered
and you would expect to grab the remaining amount = $560 million - $210 million
= $350 million
Answer:
The answer is "6.8442%".
Explanation:
The expected portfolio return is the total average portfolio return for all stocks
ACE fund weight (wA) =3%
ACE fund (ErA) expected return= 11.830%
Bond fund ZQR weight (wB) = 97%.
The ACE fund (ErB) expected return = 6.690%
Expected portfolio return = 
