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djverab [1.8K]
3 years ago
7

Which of the following statements is true of break-even point?

Business
1 answer:
Misha Larkins [42]3 years ago
6 0

Answer:

D) It helps managers exercise control after the product has been created and is ready for marketing.

Explanation:

Break-even point is the point where the total cost matches the total revenue,it is helpful to managers in order to control the business,it helps them to know when to implement certain changes or favorable incentives for improved sales and overall revenue.

It is calculated by dividing the total fixed cost/total revenue for one unit minus the variable cost for one unit.

It helps managers to control the profit margins in a given product,and also know the impact of changes to total revenue or profit when a process is Automated.

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Interest earned on both the initial principal and the interest reinvested from prior periods is called _______.
scZoUnD [109]

Answer:

<em> </em><em>interest </em><em>earned</em><em> </em><em>on </em><em>both</em><em> </em><em>the </em><em>initial</em><em> </em><em>principal</em><em> </em><em>and </em><em>the </em><em>interest </em><em>reinvested </em><em>from </em><em>prior </em><em>periods </em><em>is </em><em>called </em><em><u>compound</u></em><em><u> </u></em><em><u>interest</u></em><em><u>.</u></em>

________________________________

<em>Compound </em><em>interest</em><em>.</em><em> </em><em>The </em><em>interest</em><em> </em><em>which </em><em>is </em><em>added </em><em>on </em><em>to </em><em>the </em><em>initial</em><em> </em><em>investment</em><em>,</em><em> </em><em>so </em><em>that</em><em> </em><em>this </em><em>will </em><em>itself</em><em> </em><em>gain </em><em>interest </em><em>in </em><em>subsequent</em><em> </em><em>perio</em><em>d</em><em>s.</em>

7 0
2 years ago
Sherrie Hymes holds a $200,000 portfolio consisting of the following stocks. The portfolio's beta is 0.875. Stock Investment Bet
yuradex [85]

Answer:

The portfolio’s new beta will be 1.125

Explanation:

In this question, we are interested in calculating the portfolio’s new beta given the value of the beta of the stock which is used in replacing it.

We apply a mathematical approach here.

Mathematically;

Portfolio beta=Respective beta * Respective investment weight

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= 0.375 + 0.2 + 0.25 + 0.3 = 1.125

8 0
3 years ago
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