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3 years ago

You are told that the four-firm concentration ratio in an industry is 20.

Business

1 answer:

marin [14]3 years ago

3 0

Answer:

Correct option is (C)

Explanation:

Concentration ratio estimates the position or size of a company as compared to the industry in terms of percentage. It states the firm's share in the industry. There are two firm, four firm and eight firm concentration ratios.

In four-firm concentration ratio, the four firms combined together holds 20 percent of industry sales. 80 percent is held by other firms. Higher ratio indicates that there are less competitors in such markets while lower ratio indicates more competition.

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Which of these represents the WORST negotiating tactic you can use when purchasing a vehicle?

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Let the dealer know you are shopping around. Why? Because they will try to rope you in to only go through them.

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3 years ago

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steposvetlana [31]

Its b

Explain:
The reason it’s because the government collects taxes which are considered leakages

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3 years ago

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Will’s Whitewater Rafting sold 3 acres of land used in the business. The sales price was $6,000 and the adjusted basis of the la

Advocard [28]

Answer:a. 1,800;

b. 1,200 ($1,800/$6,000 = 30%; $4,000 x .30 = $1,200);

c. 600 (30% x $2,000 = $600)

Explanation:

In tax accounting, adjusted basis refers to the original cost, or the net cost of an asset, after adjusting various tax-related items normally reduced by depreciation deductions.

Given:

Selling Price(S.P) = $6,000

Adjusted Basis (A.B) = $4200

The gain realized from the sale of the land would be:

= S.P - A.B = $(6,000-4200)= $1,800

Now, we calculate the percentage profit on gain realized to enable ease of gain calculation for fragmented payments.

The percentage gain (P.G) is:

(S.P-A.B)/S.P * 100 = (6,000-1,800)/6000 * 100

P.G = (1,800/6,000) * 100 = 30%

Therefore we say that:

Recognized Gain on current year = Amount paid * P.G = $(4,000*0.3) = $1,200

And

Recognized Gain next year = Amount paid * P.G = $(2,000 * 0.3) = $600

Note: P.G is percentage gain.

3 0

3 years ago

The Nelson Company has $1,312,500 in current assets and $525,000 in current liabilities. Its initial inventory level is $380,000

Sedbober [7]

Answer:

company can value of $190909.1

Explanation:

Given data:

current assets = $1,312,500

current liabilities = $525,000

initial inventory level is $380,000

current ratio = 2.2

current liabilities is calculated as $= \frac{Current/ Assets}{current/ ratio}$

plugging all value in above relation

current liabilities $= \frac{1312500}{2.2}$

current liabilities = $ 596590.90

and we know current liabilities is $525,000. Thus company can value of $190909.1

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3 years ago

Lois Bragg owns a small restaurant in Boston. Ms. Bragg provided her accountant with the following summary information regarding

loris [4]

Answer:

Compute the amount of funds Ms. Bragg needs to borrow for June.

$162,850

Determine the amount of interest expense the restaurant will report on the June pro forma income statement.

$0, money is borrowed on June 30th there is no interest expense during June

What amount will the restaurant report as interest expense on the July pro forma income statement

$1,357

Explanation:

accounts receivable May 31 is $56,000.

budgeted cash sales for June $145,000

credit sales for June $591,000

65% of credit sales are collected in current month, 35% collected next month

suppliers are paid on the last day of the month

budgeted cash payments for June 30th = $710,000

cash balance $38,000

how much money does Ms. Bragg need to borrow on June 30?

total cash collections in June = $56,000 (from previous month) + $145,000 (cash sales) + $384,150 (65% of $591,000) = $585,150

payments - cash collected = $710,000 - $585,150 = $124,850

money borrowed on June 30 = $124,850 + $38,000 (desired cash balance) = $162,850

interest expense during July = $162,850 x 10% x 1/12 = $1,357

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3 years ago