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damaskus [11]
3 years ago
12

Company A produces and sells 10,000 units of its product for $10 per unit. Variable costs are $4 per unit and fixed costs total

$30,000. A move to a larger facility would increase rent expense by $8,000, and allow the company to meet its demand for an additional 1,000 units. If the move is made, profits will:
Business
1 answer:
Anastaziya [24]3 years ago
6 0

Answer:

Effect on income= $2,000 decrease

Explanation:

Giving the following information:

Selling price= $10 per unit.

Variable costs are $4 per unit

A move to a larger facility would increase rent expense by $8,000, and allow the company to meet its demand for an additional 1,000 units.

We need to calculate the effect in the income of moving to a larger facility.

Effect on income= total contribution margin increase - increase in fixed costs

Effect on income= 1,000*(10 - 4) - 8,000

Effect on income= $2,000 decrease

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The recently appointed CEO of XYZ Inc. uses a luxury summerhouse owned by the company for rest and relaxation with his family as
wel

Answer:

Perquisites.

Explanation:

Perquisite is defined as non wage compensation that an employee benefits in addition to normal salary.

When an employee exchanges his salary for some other form of compensation it is called salary packaging.

In this scenario the CEO enjoys benefits such as the use of a luxury summerhouse owned by the company for rest and relaxation with his family as well as a place to invite important clients before a lucrative business deal.

Also he has membership to an exclusive country club to its CEO.

4 0
3 years ago
EXCESS CAPACITY Williamson Industries has $7 billion in sales and $1.944 billion in fixed assets. Currently, the company’s fixed
Lubov Fominskaja [6]

Answer:

a. <u>Calculation of level of sales</u>

Level of sales = Sales / Operating capacity

= 7,000,000,000/90%

= $7,777,777,777.78

b. <u>Calculation of Target fixed Assets/Sales ratio</u>

Fixed assets sales ratio = Fixed assets / Level of sales

= 1,944,000,000/7,777,777,777.78

= 0.249942857

= 0.25

c. <u>Calculation of Increase in Fixed assets</u>

Increase in fixed assets = Fixed assets sales ratio * (Increase in sales - Level of sales)

= 0.249942857 * (7,000,000,000*1+15% - 7,777,777,777.78)

= 0.249942857 * (8,050,000,000 - 7,777,777,777.78)

= 0.249942857 * 272,222,222.222

= $68,040,000.

8 0
3 years ago
Assume you are going to receive a payment of $1,000 in 5 years. You'd like to know what that cash flow would be worth in 2 years
Digiron [165]

Answer:

The multiple choices are as follows:

Group of answer choices:

A. Present Value

B. Future Value

C. Discounted Value

D. Annuity

E. Lump Sum

The correct option is C,discounted value

Explanation:

The worth of the cash flow which is $1,000 is given with reference to the worth in 5 years' terms,hence restating the cash flow to its worth in two years' time is discounting to its two years' worth.

The answer cannot be present value since the cash flow is not being discounted to today's equivalent amount.

Also,future value is not correct since future value of $1,000 is already provided in the question

7 0
2 years ago
When she was in college, Kiersten Walburg wrote a case study on Grokster, an online peer-to-peer (P2P) file-sharing network, and
Pavel [41]

Answer:

File-Sharing and Copyrights

1. Making material available on a P2P network or through the cloud is called Select (file-sharing/ obtaining copyright protection) .

2. Is file-sharing always prohibited? Select (Yes/ No) .

3. File sharing is prohibited Select (when it is used to download and store copyrighted music/when it is used to listen to music) .

4. Under the Digital Millennium Copyright Act, a person who file-shares Select (can/ cannot) use the fair use doctrine to justify the file-sharing.

5. Montgomery notified Walburg that she had been identified as engaging in the unauthorized trading of music. She replaced the hard drive on her computer with a new drive that did not contain the songs in dispute. Walburg Select (can/ cannot) remedy her wrongful conduct by replacing her hard drive?

6. Why or why not? The illegal file sharing Select (was/ was not) already done.

7. Who is an innocent infringer? A person who Select (is/ is not) aware and had no reason to believe that his or her acts constituted copyright infringement.

8. Walburg likely Select (was/ was not) an innocent infringer.

9. Why? She had written a case study on Napster and knew file sharing was Select (right/ wrong) .

10. It is Select (likely/ not likely) that Walburg replaced her hard drive to conceal her acts.

11. If that is true, Walburg's act of replacing her hard drive Select (was / was not) ethical.

12. If Walburg did commit an illegal act in sharing copyrighted material without earning a profit, she Select (can/ can not) face criminal sanctions .

13. A court likely Select (would/ would not) find Walburg liable for copyright infringement.

Explanation:

Copyright infringement is like plagiarism.  It is the wrongful use of another person's copyrighted works or words, as if they were their own and without obtaining copyright permission from the copyright owner.  It is illegal while plagiarism is unethical.

3 0
3 years ago
Based on the systems viewpoint, a restaurant’s ability to accept cash, credit, or both, is associated with which part of a syste
faltersainse [42]

Based on the systems viewpoint, a restaurant’s ability to accept cash, credit, or both, is associated with transformational processes

This is further explained below.

<h3>What is transformational processes?</h3>

A transformation process may be thought of as any activity or combination of activities that takes two or more inputs, modifies and adds to those inputs, and creates outputs for customers or clients.

The demand from the outside world to conform to ever-shifting circumstances and needs in order to achieve one's business objectives is what drives the long-term change management process which is known as business process transformation.

In conclusion, according to the systems view, transformational processes are connected to the ability of a restaurant to accept cash, credit, or both forms of payment.

Read more about transformational processes

brainly.com/question/14850176

#SPJ1

complete question

Based on the systems viewpoint, a restaurant's ability to accept cash, credit, or both, is associated with which part of a system? Multiple Choice

financial

transformational processes

outputs

feedback

inputs

8 0
1 year ago
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