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3 years ago

Select the correct statement regarding relevant costs and revenues.

Business

1 answer:

givi [52]3 years ago

4 0

Answer:

d) Avoidable costs are also known as sunk costs.

Explanation:

The avoidable cost are those cost that can be ignored while making decision. The sunk costs are all those cost which already been incurred and it will not be effected by the change in decision. The sunk costs are already been expensed so, whatever decision you make it will not be changed.

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The following is an example of the reasoning of a rule utilitarian:

Aleks [24]

Answer:

The correct answer is the option B: False.

Explanation:

To begin with, the concept of <em>"Rule Utilitarism"</em> refers to a type of utilitarism in where the main characteristic is in the belief that an action is right when it conforms to a rule that leads to the greatest good. Therefore that under this type of ideology, the utilitarians believe that an action would be right when the amount of good that it brings is greater than the action itself. And that is why that for an utilitarian to steal would not be wrong in the case that a greater good would come afterwards for the majority, so that means, better consequences.

7 0

3 years ago

Who can cheer me up i have seizures

AlekseyPX

Answer:

I got a joke for you :)

Why do we tell actors to “break a leg?”

Because every play has a cast.

3 0

3 years ago

Read 2 more answers

Imagine that you own a property that is exactly 2.2 acres large. You want to sell your property, but your realtor tells you that

BlackZzzverrR [31]

Answer:

8,000 m²

Explanation:

you must first change the size of your lot from acres to square miles = 2.2 acres / 640 acres per square miles = 0.0034375 square miles

now we can convert to square kilometers = 0.0034375 miles x 2.56 square kilometers per square miles 0.0055 square kilometers

there are 1,000,000 m²´per km², so you have 0.0088 km² x 1,000,000 = 8,800 m²

7 0

3 years ago

Ethier Enterprise has an unlevered beta of 1. Ethier is financed with 55% debt and has a levered beta of 1.1. If the risk free r

tresset_1 [31]

Answer:

The correct answer is 0.4%.

Explanation:

According to the scenario, the computation for the given data are as follows:

If no debt, then required return can be calculated by using following formula:

Required return ( no debt) = Risk free rate + Unlevered Beta × Market risk premium

= 6% + 1 × 4%

= 0.06 + 0.04

= 0.10 or 10%

If debt, then required return can be calculated by using following formula:

Required return ( with debt) = Risk free rate + levered Beta × Market risk premium

= 6% + 1.1 × 4%

= 0.06 + 0.044

= 0.104 or 10.4%

So, extra premium required = 10.4% - 10% = 0.4%

6 0

3 years ago

A process plant making 5000 kg/day of a product selling for $1.75/kg has annual variable pro- duction costs of $2 million at 100

pantera1 [17]

Answer:

a. Breakeven point = Fixed cost / Contribution margin

Contribution margin = Selling price - Variable costs per unit

Variable cost per unit = 2,000,000 / (5,000 * 365 days)

= $1.10

Contribution margin = 1.75 - 1.10

= $0.65

Breakeven point = 700,000 / 0.65

= 1,076,923 kg

Fixed cost per kilogram at those units is:

= 700,000 / 1,076,923

= $0.65

_________________________________________________________

b. Net profit at original prices:

= (Contribution margin * units produced) - Fixed costs

= (0.65 * 5,000 * 365) - 700,000

= $486,250

Less taxes:

= 486,250 * (1 - 35%)

= $316,062.50

Net profit after price increase:

New selling price = 1.75 * 1.1

= $1.93

Net profit = ((Selling price - Variable cost) * units sold) - fixed cost

= ( (1.93 - 1.10) * 5,000 * 365) - 700,000

= $814,750

After tax:

= 814,750 * (1 - 35%)

= $529,587.50

Dollar increase:

= 529,587.50 - 316,062.50

= $213,525

5 0

3 years ago