Answer:
Explanation:
Contribution : Contribution tells the availability of funds. It is computed by taking a difference of sales and variable cost.
The equation to compute net income is shown below:
Sales - Variable cost = Contribution ;
Contribution - Fixed expense = Net income
For computing the foretasted contribution for 2018, the following information is need to be considered which is shown below.
1. As for variable cost, 50% should be recognized i.e 627,888 × 50% = $313,944
2. The fixed cost is increased by $156,000. So the revised fixed cost = 212,000 + $156,000 = $368,000
3. Other things remain same.
The calculation attachment is given below:
Answer: Option B
Explanation: In simple words, flexible budget variance refers to the difference between the results that were predicted by the flexible budget model and the actual results.
Flexible budgets are not rigid and are made on some assumptions the difference arises due to variance in the level of variable expenses that were incorrectly predicted by the model.
Hence the correct option is B.
The most obvious benefit of specialization and trade is that they allow us to: <span>Consume more goods than we otherwise would be able to consume
When we do specialization, we could produce the goods that provide competitive advantage for us so we can produce that goods in a huge amount.
After that, we can trade the goods with other goods (which gives competitive advantage to other country) and trading countries could consume goods on a huge amount.</span>
Well in this situation the wisest thing to do is to start with your project as soon as possible, start preparing for it and gather all the materials needed in time for the project.
Answer:
D : 2.17%.
Explanation:
The 26% is an APR(Annual Percentage Rate). This is a quoted rate that a credit card company charges . It is also known as the nominal rate.
Since the question is asking for a monthly rate, use the 26% and convert it into monthly rate. We have 12 months in a year; meaning, we will divide the nominal rate by 12;
Monthly rate = APR / n
APR = 26% or 0.26 as a decimal
n = compounding periods = 12
therefore, Monthly rate = 26% /12 = 2.17%
