Answer:
The company's net operating income for May is $30,500
Explanation:
For computing the net operating income, first, we have to compute the contribution by applying the contribution margin formula. The formula is shown below:
Contribution margin = (Contribution ÷ Sales)
75% = (Contribution ÷ $114,000)
So contribution would be equal to
= $114,000 × 75%
= $85,500
And the fixed expenses are $55,000
So, the net operating income equal to
= Contribution - fixed expenses
= $85,500 - $55,000
= $30,500
Answer:
The weighted-average unit contribution margin is $7.40
Explanation:
The weighted average unit contribution margin is given by the below formula:
weighted-average unit contribution margin=Wa*Margin of A+Wb*Margin of B
Wa is the weight of product A=70% or 0.70
Margin of product A is $8.04
Wb is the weight of product B =30% or 0.30
Margin of product B is $5.92
weighted-average unit contribution margin=(0.70*$8.04)+(0.30*$5.92)
weighted-average unit contribution margin=$ 7.40
Economic efficiency would not be achieved.
Answer:
If you need negotiating
Explanation:
If you need to negotiate, often times a silent partner can be better because they will not get you into more trouble or ruin your presentation with their own activeness.
Answer:
The correct answer is option a.
Explanation:
The imposition of tax on tea will create a tax wedge. The price paid by the buyers will increase and the price received by sellers will decrease. The tax burden will be shared between the buyers and sellers.
Who shares the major portion of the tax burden depends on their response to price change. Whoever has a more inelastic response to the price change will bear the major share of the tax burden. But the welfare of both buyers and sellers will get reduced.