Answer: d. company directors; shareholders
Explanation: The conduction and management of a business usually involve making controversial decisions or taking actions that might put the business at risk. In a general sense, greater profits calls for greater risks. As such, the business judgement rule states that the board of directors should be allowed to make such decisions without fear of prosecution by shareholders who might object while acknowledging that managers are not capable of making optimal decisions at all times. The rule therefore aid in protecting a business's board of directors from slight legal allegations about the conduct of business. It is thus important because it reflects the principle that company directors, not shareholders, have the greatest latitude to run companies.
60 percent, around 95 percent of businesses fail within the first five years of trading
Answer:
Calculate Recline’s contribution margin ratio.
Contribution Margin RATIO 34%
Calculate the break-even point in sales dollars for Recline.
Break-Even Point $1.030.556
Explanation:
- The contribution margin it's determined by the total amount of Gross Profit divided by the total value of sales. To this case $405,000/$1,192,500 = 34%
Income Statement
11.250 Quantities
$106 Unit Price
$1,192,500 Sales
-$787,500 Cost of goods sold
$405,000 Contribution Margin 34%
-$281,250 Fixed Cost
$123,750 Operating Income
- The Break Even point it's when the Operating Income is equal to zero, it means the lowest level of sales the company can afford and not loss money.
BREAK EVEN POINT
9.722 Quantities
$106 Unit Price
$1,030,556 Sales
-$787,500 Cost of goods sold
$243,056 Contribution Margin
-$243,056 Fixed Cost
$0 Operating Income
Answer:
Explanation:
Strategic plans: They are those who seek to fulfill the company's wishes in the long term. They are usually described in a general way and are executed through tactical plans.
Tactical plans: They are those who take the strategic plans and turn them into specific activities for their execution and development.
Operational plans: Operational plans are all those that seek to create the mechanisms to plan and fulfill tactical plans.
Mission Statement: is the set of general objectives and principles of work to grow the company.
According to this definitions the answers are:
1) (D)Mission statement.
2) (A)Strategic.
3) (D)Tactical.
4) (A)Operational.
Goals questions:
1) (D) The statement does not specifies the time limit to accomplish the goal.
2) (A) Information regarding the type of air conditioners and refrigerators to be sold and the place where the goal is set is missing.
