Answer:
The fixed costs are too high. The marginal cost generally represents variable costs and they might be very low, but if the fixed costs are simply too high, they will need to increase the price of the plane tickets in order to break even. The break even formula is calculated by dividing total fixed costs by marginal revenue (selling price - variable costs).
Answer:
Fixed overhead costs
Variable and fixed cost distinctions
less than absorption costing net operating income
Explanation:
Fixed overhead costs are costs that do not change with change in the volume of production activity. Rent of the production facility is an example of fixed overhead cost.
Variable costs are costs that change with change in the volume of production activity. Tax is an example of variable cost.
between absorption costing net operating income and variable costing net operating income can be explained by the way these two methods account for <u>Fixed overhead costs</u>. all overhead costs fixed overhead costs selling and administrative expenses variable overhead costs Knowledge Check 02 Absorption costing income statements ignore <u>Variable and fixed cost distinctions</u>. direct materials and direct labor costs direct and indirect cost distinctions product and period cost distinctions variable and fixed cost distinctions Knowledge Check 03 When the number of units produced is greater than the number of units sold, variable costing net operating income will be <u>less than absorption costing net operating income</u>. the same as absorption costing net operating income greater than absorption costing net operating income less than absorption costing net operating income
Answer:
correct option is c. $2.51
Explanation:
given data
strike price of $30 = $2
underlying stock price = $29
dividend = $0.50
risk-free rate = 10%
solution
we use here pit call parity that is
c - p = s - k
-D .....................1
S is current price and c is call premium and r is rate and t is time
so price of put p will be
p = c-s + k
+ D
put here value and we get
p = 2 -29 + 30
+ 0.5
+ 0.5
p = 2.508
p = $2.51
so correct option is c. $2.51
Answer:
A. $50,000
Explanation:
150,000 for a 3 year compaing = 50,000 per year
<u>The contract has just started </u>and the information available doesn't meet the criteria.
We must remember that <u>accounting has a principle of conservatism</u> regarding revenues. Accrue revenue without proper grounds is not correct. We should recognize the 1/3 of the base fee which is earned and matched the accounting cycle.
Answer: (A) Relationship-oriented
Explanation:
The relationship-oriented is one of the type of leadership style whose aim is to focus on motivating other people and also provide the satisfactory solution to the different types of team members by establishing an emotional and a meaningful relationship.
According to the given scenario, Anna has a relationship oriented as Anna is the team leader and he also believed that the he can provide a valuable resource to an organization because of hardworking and the sincere nature towards the work.
Therefore, Option (A) is correct answer.