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mixer [17]
3 years ago
6

Quinn has capacity to make 950,000 zippers per year, but due to a soft market, only plans to produce and sell 620,000 zippers ne

xt year. LeatherStuff currently buys zippers from an outside supplier for $3.50 each (the same price that Style receives). Assume that Style and LeatherStuff have agreed on a transfer price of $3.25. What are the total cost savings for LeatherStuff?
Business
1 answer:
Gekata [30.6K]3 years ago
8 0

Answer:

$22,500

Explanation:

The computation of the total cost saving is shown below:

= Cost saving × number of zippers needed

= $0.25 × 90,000 zippers

= $22,500

We simply multiply the cost saving with the needed zipper so that accurate amount can come

The cost saving would be

= Outside supplier price - transfer price

= $3.50 - $3.25

= $0.25

All other information which is given is not relevant. Hence, ignored it

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Explain the initial entry strategy of passive vs. active. give an example for each.
Scrat [10]

What is passive Strategy?

An investment approach for long-term investors is passive investing. By replicating an index, it seeks to maximise market returns while avoiding frequent trading. Investors benefit from a reduction in the costs or fees associated with active trading or active investment.

What is active strategy?

An active investment strategy is one that actively buys and sells companies with specific characteristics using the information obtained by qualified stock analysts. With higher returns and/or lower risk, the goal is to outperform index and overall stock market performance.

Passive Strategy:

- search, listen, respond

- good way to start

- seek out mentions of your business, its competitors in your industry

- simply saying thank you and answering questions is a great first step

Active Strategy:

- marketer creates content and engages in conversations through different SM channels

- connects with key influencers

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To learn more about active and passive Strategy

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3 0
1 year ago
The income statement shows the difference between a firm's income and its costs--i.e., its profits--during a specified period of
Aloiza [94]

Answer:

True.

Explanation:

‘Cash Flow Statement’ is one of major financial statement that indicates the inflow and outflow of cash along with the reasons by categorizing each cash transaction in three activities i.e., operating, investing or financing activity. Non-cash transactions are not considered while preparing a cash flow statement.

The cash flow from operating activities is generally more than the net income after taxes.

The cash flow from operating activities includes only the cash transactions relating to the operations of the business. It ignores the non-cash transactions. On the other hand, net income is derived after deducting all the expenses (paid or unpaid) from the revenue earned, pertaining to a particular period.

Example: Depreciation expense is a non-cash transaction. It is treated as follows:

While calculating cash flow from operating activities, depreciation expense is ignored (added back to the net income) as it is a non-cash transaction.

On the other hand, depreciation expense pertaining to the accounting period is deducted from revenue to calculate net income after taxes.

Thus, the cash flow from operations is generally more than the net income after taxes.

5 0
4 years ago
If the supply curve is perfectly inelastic, the burden of a tax on suppliers is borne: a. entirely by the suppliers. b. entirely
Snezhnost [94]

Answer:

Option (a) is correct.

Explanation:

The burden of a tax is entirely borne by the suppliers if the supply curve is perfectly inelastic. The burden of a tax falls more on a person which is having relatively inelastic curve.

For example: A government imposes a tax in a market of beachfront hotels with an inelastic supply curve. There is no other option available for the sellers than to accept the lower price for the hotels, here the taxes are not affecting the equilibrium quantity. Therefore, the entire burden of tax falls on the suppliers.

Suppose that if the demand curve is more inelastic than the supply curve then  most of the tax burden falls on the consumers and if the supply curve is more inelastic than the demand curve then most of tax burden falls on the sellers.

5 0
3 years ago
If an economy is producing efficiently, then A. there is no way to produce more of one good without producing less of another go
lys-0071 [83]

Answer:

the correct answer is A. There is no way to produce more of one good without producing less of another good.

Explanation:

In Economy, there is two principal variables, the goods and the resources to produce that goods. The term Efficient means the best way to produce one o more goods using less resources, it means that in teory, more resources you use, more goods you produce, but the resources are limited and they are distributed proportionally to produce in the most efficient way all the goods in an economy. So in order to produce more from one good, is necessary to take resources out from another productions, and doing so, the production of the second good will be diminished.

6 0
3 years ago
Some factors that affect income are _____.
givi [52]
There are a lot of factors that can affect income and some of these are listed below:
1. Performance at Work. If you have a good output, you will be compensated with a bigger salary.
2. Educational Attainment. Good education means good opportunities.
3. Years of experience. The longer years of service, the higher the salaries.


7 0
3 years ago
Read 2 more answers
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