Answer: c.
Explanation: The unemployment rate may underestimate the true extent of unemployment if there are a large number of people working in the underground economy . While the underground economy also known as the black economy may conjure up images of drug deals and prostitution rings, the term actually has much broader scope. It refers not only to illegal economic activity, but all economic activity that goes unreported to government authorities and consequently, avoids being taxed. one of the primary reasons the underground economy exists is that people are trying to evade taxes. But increased government regulations that can make the cost of doing business higher also create an incentive to avoid reporting certain economic activity to the government. An increase in the number of unemployed increases the number of people who work in the black economy because they have more time. On the other hand, an increase in unemployment implies a decrease in the shadow economy.
The firm with a 20% Debt and 80% Equity has the lowest degree of leverage.
<h3>What is a
degree of leverage?</h3>
This means how much a firm operating income changes in response to a change in sales.
Because the Firm C has a low debt, this means its has the lowest degree of leverage when compared to others.
Therefore, the Option C is correct.
Missing options "90% Debt, 10% Equity
30% Debt, 70% Equity
20% Debt, 80% Equity
50% Debt, 50% Equity"
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Answer:
The manufacturing margin is $460000
Explanation:
Margin is the difference between a company revenue (sales) and the cost of manufacturing. Manufacturing margin is the profit a manufacturer gets from sales of goods or services. Fixed manufacturing costs, variable selling and administrative expenses and Fixed selling and administrative expenses are not used when calculating the manufacturing margin.
Manufacturing margin = Sales - Variable costs of goods sold = $900000 - $440000 = $460000
The manufacturing margin is $460000
Answer:
Base 98900 79000
tax excess 85525 40125
Excess 13375 38875
% 24% 22%
tax 1 3210 8552.5
tax 2 additional 14605.5 plus 24% of the excess 85.525
4617.5 plus 22% of the excess 40.125
total tax (tax1+tax2) 17815.5__13170
Change in tax
(17.815 - 13.170) / (98,900 - 79,000) =
4.645,5 / 19.900 = 23.34%
Explanation:
Base 98900 79000
tax excess 85525 40125
Excess 13375 38875
% 24% 22%
tax 1 3210 8552.5
tax 2 additional 14605.5 4617.5
total tax 17815.5 13170
Change in tax
(17.815 - 13.170) / (98,900 - 79,000) =
4.645,5 / 19.900 = 23.34%
Answer:
The 14th worker will need to increase sales by 20 pounds for a total of 390 pounds
Explanation:
The worker cost is $80
To make a profit the company will need sales for at least that amount:
$80 wages per day / $4 earnings per pound = 20 pounds
in total sales would need to be 370 + 20 = 390 pounds
