Answer: Return on sales is calculated based on sales volume and not profit
Explanation:
This can be explained by understanding the scenario; the price that discounters pay is lower than any other channel. Discounters have high variable cost, they only pay $52 for the Russel with 41percent return on sales. They also larger fixed costs than the other channels and the return on sales is calculated based on sales volume and not profit.
Answer: Each of the members on the panel was handed a copy of the 30-page proposal.
Explanation:
The pronoun<em> each</em> is an infinite pronoun as it does not refer to a specific person but still includes all of them. As it is a singular pronoun, it would need to be matched by a singular verb being <em>was</em> instead of <em>were</em> which is a plural verb.
Also, with numbers, it is a general rule that when the number is between one and ten it would be best to write it as a word. When the number is above 11 however, it would be best to write it as numerals. The correctly punctuated example is therefore the first one.
Answer: 1,425.2 units
Explanation:
Recorder point
:
Lead time = 4 weeks
Expected demand during this time is
= No. of weeks × Weekly demand
= 4 × 273
= 1,092 units
Standard Deviation = 95 units
Standard Deviation for the 4 week period is:
= 170 units
At the 95% probability level, the z-score is 1.96 (From the Z- table)
Safety Stock = Z-value × Standard Deviation for the 4 week
= 1.96 × 170 units
= 333.2 units
Recorder point = Safety stock + expected demand during the time period so,
= 333.2 units + 1,092 units
= 1,425.2 units
Answer:
option 4 is correct
cash flow is $12000
Explanation:
Given data
Sales = $200,000
Variable Costs = $120,000
Fixed Costs = $40,000
Depreciation Expense = $20,000
Tax Rate = 40%
to find out
operating cash flow
solution
we know cost = Variable Costs+ Fixed Costs
cost = $160,000
and
profit is = Sales - cost - expense
profit = $200,000 - $160000 - $20,000
profit = $20,000
and
tax expense = 40% of $20000
tax expense = 40% × $20000 = $8000
so
cash flow = profit - tax expense
cash flow = 20000 - 8000
cash flow = $12000
so option 4 is correct
cash flow is $12000
Answer:
$3.86
Explanation:
According to the scenario, computation of the given data are as follow:-
Current price of stock (S0) = $110
Call option at exercise price X is $110
Three month call option price (C) = $6.53
Risk free interest rate = 8%
Price of the three month P.U.T.T option (P) = C - S0 + PV (X)
= $6.53 - $140 + $140 ÷ (1+8%)^(3÷12
)
= $6.53 - $140 + $140 ÷ (1+8%)^.25
= $6.53 - $140 + $140 ÷ 1.019427
= $6.53 - $140 + $137.33
= $3.86
