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4 years ago

Which results from a large company's ability to take advantage of economies of scale?

1 answer:

4 0

Large companies have the ability to take advantage from the economies of scale through offering goods which are more affordable than other smaller retailers. This is because as the company grows, their unit cost decreases due to some factors caused by the economies of scale.

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Coaches can receive a bonus from the booster club at the conclusion of a season.

inna [77]

Answer:

The statement is true

Explanation:

Booster club is the organization which is formed in order to support the organization, associated club and sports team. The club support through coordinating events or raising the funds.

So, yes, the coaches are legally could receive the bonus from the booster club at the season conclusion as the booster clubs are not state funded, so they are intended to use the money for the school resources.

And there is no legal matter is involves with giving the coaches bonuses as the booster club raise the fund from the extra circular activities.

4 0

3 years ago

Prepare journal entries to record each of the following transactions. The company records purchases using the gross method and a

zloy xaker [14]

Answer and Explanation:

The journal entries are shown below;

On Sept 15

Merchandise inventory $77,500

To Accounts payable $77,500

(Being purchase of inventory is recorded)

On Sep 29

Accounts payable $77,500

To Cash $75,175

To Merchandise inventory (3% of $77,500 ) $2,325

(Being payment to suppliers after discount is recorded)

3 0

3 years ago

A customer buys 100 shares of DEFF stock at $150 per share. During the first year of owning the stock, the customer receives $45

Vlad [161]

Answer:

The total return on investment for the holding period is 10.5%.

Explanation:

If the consumer bought 100 shares for a value of $ 150, obtaining after a year $ 450 total for dividends and seeing his shares go to a value of $ 161.25, to obtain the total return on investment we must perform the following calculations:

On the one hand, we have a return of $ 450 in dividends, which were paid by the total set of 100 shares, with which each share paid $ 4.50 in that concept.

In addition, we have the increase in the value of the shares, which went from $ 150 to $ 161.25, that is, an increase of $ 11.25 per share, which multiplied by the total of 100 shares gives a total sum of $ 1,125.

Thus, adding the dividends to the improvement in the value of the shares, we have a total profit of $ 1,575. Now, to determine the percentage of return that said sum represents, we must perform a cross multiplication:

15,000 = 100

1,575 = X

(1,575 x 100) / 15,000 = X

10.5 = X

So, the rate of return on this investment is 10.5% of the starting value.

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3 years ago

Use the following Year 3 data: Other Selling and Administrative Expenses $ 1,052,000 Other Expenses 249,300 Sales Revenue 4,887,

Talja [164]

Answer:

$222,450

Explanation:

Computation of annual income statement for Kvass Inc. is shown below

Sales revenue

$4,887,000

Less:

Selling and admn expenses

($1,052,000)

Other expenses

($249,300)

Advertising and promotion expenses

($553,350)

Salaries and wages expenses

($2,527,800)

Income tax expenses

($167,350)

Interest expense

($114,750)

Net income

$222,450

8 0

3 years ago

Shackleford corporation net income this year is $800,000. The company generally retains 35% of net income for reinvestment. the

ZanzabumX [31]

Answer:

A. $22.61

Explanation:

First,

find the growth rate(g);

g = ROE *retention rate

retention rate = 35%

ROE = Net income/value of equity

ROE = 800,000/5,000,000 = 0.16

Therefore, g = 0.16*0.35

g =0.056 or 5.6%

Price = $\frac{D0(1+g)}{(r-g)}$

D0 = Recently paid dividend

g = growth rate

r = required return

Price = $\frac{1.37(1.056)}{0.12-0.056} \\ \\ =\frac{1.44672}{0.064} \\ \\ =22.605$

Therefore, the value of this stock is $22.61

4 0

3 years ago