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3 years ago

N industry consists of three firms with sales of $360,000, $650,000, and $265,000.

Business

1 answer:

Yanka [14]3 years ago

5 0

These three together form total market, so here we have to add up everything to know volume of the market

A+B+C = 1,275,000 is the total market

Then we have to calculate individual market share

which would eb 1) 28.2%, 2) 50.9%, 3) 20.8%

This can be calcualated by simple percetage calculation. ( 1275000-360000/1275000*100)-100 will give what share each has.

Then we apply HHI formula

HHI = s1^2 + s2^2 + s3^2 + ... + sn^2

HHi is nothing but squaring of each of the percentages and adding them up

(28.2)2 +(50.9)2 +(20.8)2

812+2590+432 = 3834

HHI of 3834 shows it is highly competitve market.

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Indicate how each item should be classified in the statement of cash flows using these four major classifications: operating act

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Answer:

Indicate how each item should be classified in the statement of cash flows using these four major classifications

Explanation:

Cash flows from operating activities

Profit before taxation

Adjustments for:

Depreciation

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Profit / (Loss) on the sale of property, plant & equipment

Working capital changes:

(Increase) / Decrease in trade and other receivables

(Increase) / (Decrease) in inventories

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4 0

3 years ago

Which of the following refers to the costs of production that fluctuate depending on the number of units produced? A. Total cos

Natalka [10]

Variable cost refers to the costs of production that fluctuate depending on the number of units produced.

<h3>Explanation:</h3>

The cost of any product that changes based on the quantity of goods that are produced. The volume that is produced decides the fluctuations in the variable cost. Fixed cost is the cost that will not change based on the number of units of the goods that is produced. Rent of a building can be considered as a fixed cost.

Example for variable cost may be raw materials cost, packaging cost,etc. Variable cost can be calculated by adding up the cost of labor and raw materials that are used in the production of one unit of a good. The total variable cost can be calculated by multiplying variable cost per unit with the number of units produced.

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The manager can invest in an additional project that would require $40,000 investment in additional assets and would generate $6

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Answer:

d. If the manager invests in the additional project, residual income of the division will increase.

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RI = Operating Income - (Operating Assets x Minimum Required Rate of Return)

with adding the additional project

Operating Income: $60000 +6000 =$66000

Operating Assets: $375000+$40000 =$415000

Residual income =$66000-14%*$415000 =$7900

Consider the attached information.

7 0

3 years ago

Carla Vista Co. issued $590,000, 10-year, 7% bonds at 101. Prepare the journal entry to record the sale of these bonds on Januar

34kurt

Answer:

cash 595,900 debit

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Explanation:

We have to record the issuance of the bonds:

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During this period, people who monitor the U.S. economy were constantly on the lookout for signs of inflation. Explain why infla

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Answer:

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6 0

3 years ago