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nekit [7.7K]
4 years ago
14

How will you save money by buying a franchise? A. Your employees will be paid by the corporation.
B. You can get a volume discou

nt on your products.
C. Franchises require less investment than new businesses.
D. You're free to make your own decisions regarding finances and investments.
Business
2 answers:
Nat2105 [25]4 years ago
7 0
B - You can get a volume discount on your products!
aniked [119]4 years ago
5 0

The correct answer is B. You can get a volume discount on your products.

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Mendenhall Corporation constructed a building at a cost of $14,000,000. Weighted Average accumulated expenditures were $5,600,00
Harman [31]

Answer:

$329,000

Explanation:

Please see attachment .

8 0
4 years ago
As a member of UA Corporation's financial staff, you must estimate the Year 1 cash flow for a proposed project with the followin
Airida [17]

Answer:

Option (C) is correct.

Explanation:

EBIT = Sales revenues - Depreciation - Other operating costs

        = $39,500 - $10,000 - $17,000

        = $12,500

EBT/PBT = EBIT - Interest expense

               = $12,500 - $4,000

               = $8,500

PAT = EBT - Tax rate

      = $8,500 - 35% of $8,500

      = $8,500 - $2,975

      = $5,525

CFAT = PAT + Depreciation

         = $5,525 + $10,000

         = $15,525

Therefore, the Year 1 cash flow is $15,525.

8 0
4 years ago
A small firm intends to increase the capacity of a bottleneck operation by adding a new machine. Two alternatives, A and B, have
Ronch [10]

Answer:

Alternative A : 7,800 units

Alternative B: 5,250 units

Explanation:

\frac{Fixed\:Cost}{Contribution \:Margin} = Break\: Even\: Point_{units}

Were:

Sales \: Revenue - Variable \: Cost = Contribution \: Margin

for A:

15 - 10 = 5 contrbution margin

each unit contributes 5 dollars

then: $39,000 fixed cost / $5 per unit =  7,800 units

It need to sale 7,800 untis to pay the fixed cost generated for alternative A

for B:

15 - 11 = 4 contribution margin

each unit contributes 4 dollars

then: $21,000 fixed cost / $4 per unit = 5,250

It need to sale 5,250 units to pay the fixed cost for this alternative

7 0
3 years ago
Edwards Electronics recently reported $11,250 of sales, $5,500 of operating costs other than depreciation, and $1,250 of depreci
PIT_PIT [208]

Answer:

$3,210.94

Explanation:

The NOPAT of the Edwards electronics can be determined through the following mentioned method.

Sales:                                 $11,250

Operating costs:               ($5,500)

Depreciation:                    ($1,250)

Interest payment              ($218.75)

($3,500*6.25%)

Profit before tax               $4,281.25

Taxes(25%)                       ($1,070.31)

NOPAT                              $3,210.94

7 0
4 years ago
North Around, Inc. stock is expected to return 22 percent in a boom, 13 percent in a normal economy, and −15 percent in a recess
almond37 [142]

Answer:

4.53%

Explanation:

Data provided in the question:

Expected return = ∑ (Return × probability)

Thus,

Expected return = (0.06 × 22) + (0.92 × 13) + (0.02 × (-15))

= 12.98%

Now,

Probability       Return        Probability × (Return-Expected Return)²

0.06                  22                   0.06 × (22% - 12.98%)² = 4.8816

0.92                  13                    0.92 × (13% - 12.98%)² = 0.000368

0.02                  -15                   0.02 × (-15% - 12.98%)² = 5.657608

========================================================

                                                                            Total = 20.5396%

Standard deviation = \sqrt{\frac{\text{Total probability}\times(\text{Return-Expected Return})^2}{\text{Total probability}}

= √(20.5396)

= 4.53%

6 0
3 years ago
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