Answer:
new BEP in units = 3,750
Contribution Margin Ratio 0.40
Explanation:
The variable cost decrease by $10 to $60 from 70
The fixed cost increase by 30,000 to $150,000 from $120,000
sales remains at $100
100 - 60 = 40 CM Each units contribution is $40
40/100 = 0.40 CMR for each dolalr of sales 40 cents are contribution
150,000/40 = 3,750 by selling 3,750 the company can afford to pay their fixed cost.
Answer:
Store cards are credit cards that typically can only be used at specific stores. Retailers partner with banks to offer these revolving lines of credit to customers. Store cards encourage shoppers to purchase items on credit today and pay them off over time. The advantage for the store is that you’re locked into their ecosystem; the advantage for you is that you might receive offers that are exclusive to cardholders.
The main difference between a store card and a credit card is that where a store card can only be used at a specific store, a credit card can be used anywhere that credit cards are accepted.
Explanation:
Answer:
The correct answer is "32.076%".
Explanation:
Given:
Initial investment,
= $500,000
Cash inflows,
= $500,000
The floatation cost will be:
=
= ($)
The total cost will be:
=
=
=
hence,
The rate of return will be:
=
=
=
=
= (%)
Answer:
Company Save $37000 by Buying
Explanation:
given data
make component part = 100 units
Direct Materials = $122000
Direct Labor = 34000
Variable Overhead = 55000
Fixed Overhead = 30000
purchase the component = $200000
fixed costs = $4000
to find out
make or buy decision
solution
first we find here Total Cost for Making component part
total cost = Direct Materials + Direct Labor + Variable Overhead + Fixed Overhead ..............1
put here value
total cost for make = $122000 + 34000 + 55000 + 30000
total cost for make = $241000
and
now we find here Total Cost for buying component part
total cost = Purchase Price + fixed costs ............2
put here value we get
total cost for buying = $200000 + $4000
total cost for buying = $204000
so
we can say Company Save = $241000 - $204000 = $37000 by Buying
Answer: Optimization of resource allocation
Explanation: Macroeconomics, in simple words, refers to the study of economy as whole. It focuses on factors, the impact of which is high on economy such as interest rates and national productivity.
One of many concerns that macroeconomics deals with is optimization of resource allocation, which means using resources in that sector which gives the best results and maximum profit to the economy.