Answer:
Total Dollar return on Investment = $85
Explanation:
Coupon rate = 7%
Coupon Payment ($1,000×7%) = $70
Selling Price of the bond ($1,000×102.5) = $1025
Today’s selling price of the bond ($1,000×104%) =$1,040
$1,040 - $1025 + $70 = $85
Total Dollar return on Investment = $85
Answer:
The variable cost is $2.67 per dog.
Explanation:
The variable cost per unit can be determine by using the highlow method to separate the variable component of the given mixed cost. the variable cost is the one that varies with the level of output. Under high low method, we calculate the variable cost per unit by using the following formula:
Variable cost per unit = (Cost at highest activity level - cost at lowest activity level) / (Highest activity level in units - lowest activity level in units)
Variable cost per unit = (3600 - 2800) / (500 - 200)
Variable cost per unit = $2.67 per dog
Answer:
D) Sales Promotion
Explanation:
Sales promotion involves any incentive used by manufacturers to encourage the sales force to actively sell a brand or distributors/consumers to buy a brand.
Answer: Option E: E.Just because one firm receives a 3.20 overall rating and another receives a 2.80 in a CPM, it does not necessarily follow that the first firm is precisely 14.3 percent better than the second, but it does suggest that the first firm is better in some areas is TRUE
Explanation:
Because one firm receives a 3.20 overall rating and another receives a 2.80 in a CPM, it does not necessarily follow that the first firm is precisely 14.3 percent better than the second, but it does suggest that the first firm is better in some areas.
The former firm received such high rating most times because of pedigree or experience or winning rate which does not judge it better than the latter firm in all areas.
Answer:
Option D Costs incurred prior to deciding whether or not to produce a new product are sunk costs.
Explanation:
Option A The allocated costs might include fixed costs and are not relevant, so must not be included in the project appraisal.
Option B Sunk costs are not relevants costs and must not be included in the cost of the project. So this statement is also incorrect.
Option C Synergy occurs due to increase in the revenue and decrease in costs due to parenting strategy of the parent company.
The reason is that it is the definition of the sunk cost and is correctly stated in the option D. So the option D is correct here.