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Gala2k [10]
3 years ago
6

In a given year, Jennifer earns $50,000 and spends $40,000. During the same period, Stcve earns $30,000 and spends $27,000. If J

ennifer and Steve both must pay a 10 percent sales tax on goods purchased, the sales tax is
(A) a higher perccntage of income for Jennifer than for Steve
(B) a higher percentage of spending for Steve
Business
1 answer:
elena55 [62]3 years ago
6 0

Answer:

The sales tax is regressive with respect to income

Explanation:

sales tax by Jennifer = 0.1*30000

                                   = 3000

tax/income = 3000/50000

                   = 6%

sales tax by steve = 0.1*27000

                                   = 2700

tax/income = 2700/30000

                   = 9%

The tax increases with decrease in income, it indeed is regressive on the whole.

Therefore, The sales tax is regressive with respect to income

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Alfarsi Industries uses the net present value method to make investment decisions and requires a 15% annual return on all invest
Rzqust [24]

Answer:

E. $7,190

Explanation:

Net present value is the present value of after tax cash flows from an investment less the amount invested.

NPV can be calculated using a financial calculator

For project A,

Cash flow in year 0 = $-14,500

Cash flow in year 1 = $9,500

Cash flow in year 2 = $9,500

Cash flow in year 3 = $9,500

I = 15%

NPV = $7190.64

To find the NPV using a financial calacutor:

1. Input the cash flow values by pressing the CF button. After inputting the value, press enter and the arrow facing a downward direction.

2. After inputting all the cash flows, press the NPV button, input the value for I, press enter and the arrow facing a downward direction.

3. Press compute

I hope my answer helps you

3 0
3 years ago
Internal information provides an understanding of factors outside of the organization
svp [43]

Answer:

false

Explanation:

Internal information is the information developed from activities that occur within the organization.

Definition

4 0
3 years ago
Bobby Company has fixed costs of $160,000. The unit selling price, variable cost per unit, and contribution margin per unit for
V125BC [204]

Answer:

1,500 units; 1,000 units

Explanation:

Break Even Point (in units) = Fixed cost ÷ Contribution margin per unit

Fixed cost = $160,000

Sales Mix = 60% of X + 40% of Y

                = 0.6X + 0.4Y

So,

Contribution Margin of the Mix:

= (60% × contribution margin of X) + (40% × contribution margin of Y )

Contribution Margin of the Mix per unit:

= (60% × 80) + (40% × 40)

= 48 + 16

= $64

Break Even Point (in units) = Fixed cost ÷ Contribution margin per unit  

                                            = 160,000 ÷ 64

                                            = 2,500 unit

At the Level of break even :

Unit of X at break-even:

= 60% of 2,500

= 1,500 units

Unit of Y at break-even:

= 40% of 2,500

= 1,000 units

3 0
4 years ago
Macro economic misery diminished during the first reagan administration, which means that the phillips curve'
tensa zangetsu [6.8K]
Had to look for the options and here is my answer. What it means when there is a decrease in the Macro economic misery during the first Reagan administration is that the Phillips Curve has shifted from right to left. This implies that there is an ease of the trade-off between the unemployment and inflation. Hope this answer helps.
7 0
3 years ago
For accounting errors, which of the below sentences is true?
Monica [59]

Answer:

The correct option is C

Explanation:

Accounting error is the type of error in the accounting which was not done intentionally but when spotted, the error need to be fixed immediately. And when there is no immediate solution for the error, an investigation is conducted in order to find out who caused the error.

The statement which is true is that they represent the fraud which usually result in the legal action to be taken.

7 0
3 years ago
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