Well, based on the problem, it seems that after that one year of having a large volume of sales, you probably became complacent and noticed that you have less orders. So I would say that you probably failed to continue your marketing efforts. it is very important for a company to always continue their marketing efforts because it is through the marketing efforts that they will be able to bring in sales. if you stop your marketing efforts even for a bit, you will see that there is a decline in sales.
Answer:
Break-even point in units= 25,000
Break-even point (dollars)= $125,000
Explanation:
<u>To calculate the number of units to be sold and the sales dollars required, we will use the break-even point analysis. The following formulas are required:</u>
Break-even point in units= (fixed costs + desired profit) / contribution margin per unit
Break-even point in units= (30,000 + 20,000) / (5 - 3)
Break-even point in units= 25,000
Break-even point (dollars)= (fixed costs + desired profit) / contribution margin ratio
Break-even point (dollars)= 50,000 / (2/5)
Break-even point (dollars)= $125,000
Question attached
Answer and Explanation:
Answer and explanation attached
Answer:
4.20%
Explanation:
The zero-coupon bond now 14 years left before maturity,which means that we need to compute the price with 14 years maturity and interest rate of 9% per year in order to determine the total return on the bond over a year period.
Price of the bond=present value of face value of $1000
9% annually while 4.5% is the semiannual yield
the bond has 28 semiannual periods in 14 years
price of the bond today=$1000/(1+4.5%)^28=$291.57
return over a year=($291.57-$279.83)/$279.83=4.20%
Answer:
$900,000
Explanation:
Given that,
Perpetuity payment = $100,000
Annual interest rate = 12.5 percent
Total value of investment should be:
= Perpetuity payment ÷ Annual interest rate
= $100,000 ÷ 0.125
= $800,000 (should be as balance on the date of retirement)
The first payment of $100,000 should be on the date of retirement
Therefore,
Total investment on the date of retirement should be:
= $800,000 + $100,000
= $900,000
