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3 years ago

A Lorenz curve showing perfect equality in the distribution of income:

Business

1 answer:

valentinak56 [21]3 years ago

5 0

Answer:

Option (C) is correct.

Explanation:

Lorenz curve is a graphical representation of percentage of total national income on the y-axis and percentage of total population. This curve shows us the degree of inequality of income distribution. It is one of the crucial measure of poverty.

In a inequality income distribution graph, there is a straight diagonal line at 45 degree angle and the Lorenz curve. The larger the difference between these two curves, the larger will be the inequality in the income distribution.

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Night Shades Inc. (NSI) manufactures biotech sunglasses. The variable materials cost is $18.50 per unit, and the variable labor

Pavel [41]

Answer:

a. $25.50

b. $9,725,000

c. Cash = 8,888.89 units

Accounting = 35,555.56 units

Explanation:

a. Variable cost per unit = material cost + labor cost = $18.50 + $7.00 = $25.50

b. Total cost = Fixed + Variable

Variable = $25.50 $\times$ 350,000 = $8,925,000

Fixed = $800,000

Total = $800,000 + $8,925,000 = $9,725,000.00

c. Cash break even point = (Fixed cost - Depreciation)/Contribution per unit

Fixed cost = $800,000

Depreciation = $600,000

Contribution per unit = $48 (Selling price) - $25.50 (Variable cost) = $22.5

Cash Break even point = ($800,000 - $600,000)/$22.5 = 8,888.89 units

Accounting Break Even Point = Total fixed cost/ Contribution per unit

=$800,000/$22.5 = 35,555.56 units

Final Answer

a. $25.50

b. $9,725,000

c. Cash = 8,888.89 units

Accounting = 35,555.56 units

5 0

3 years ago

Kermit bought a production line 5 years ago for $35,000. At that time it was estimated to have a service life of 10 years and sa

andre [41]

Answer: The defender must be analyzed using a first cost of _____$12,000______ and a salvage value of _____$6,000_______ for ____5______ years. The challenger must be analyzed using a first cost of ____$95,000______ and a salvage value of _____$15,000_____ for _____15____ years.

Explanation:

The defender would first be analyzed using the first cost of the machine which was $12,000 and it salvaged value of $6,000 for a periodic of 5years.

While the challenger would be analyzed using using a first cost of $95,000 and a salvaged value of $15,000 over a period of 15years.

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4 years ago

Flower farming is earning popularity day by day in Nepal justify this statement

ankoles [38]

Importance of flower cultivation is increasing day by day in Nepal because they understood the income which can be generated by floriculture and the soil also permits the cultivation of the plants at a large scale.

3 0

3 years ago

Stereotyping is placing a person or group of persons into an inflexible, all-encompassing category, whereas _________ is a judgm

anzhelika [568]

Stereotyping is placing a person or group of persons into an inflexible, all-encompassing category, whereas prejudice is a judgment of someone based on an assumption that you already know relevant facts or background information.

4 0

3 years ago

According to its original plan, Benson Consulting Services Company plans to charge its customers for service at $135 per hour in

levacccp [35]

Answer:

See budget below

Explanation:

A flexible budget is that which is prepared for different level of activities. It suitable for a situation where there exist a lot of possible scenarios. It is usually prepared using the assumptions of a static budget

The flexible budget would be prepared as followed:

Consulting Services Company

Flexibe budget for 2018

Activity level (hrs) 48,000 52,000 56,000

$'000 $'000 $'000

Sales revenue ($135/hr) 6,480 7,020 7,560

Variable cost (1920) ( 2080) (2240)

Contribution 4,560 4,940 5,320

Fixed costs (1,310) (1,310) (1,310)

Profit 3,250 3,630 4,010

7 0

3 years ago