Answer:
Variable cost
Explanation:
because sometimes companies set fixed price to other product
Answer:
Advocates of the efficient market is of the belief that information that is made available publicly is usually reflected in security prices and thus adjustments in price to new information will occur swiftly. Hence, under the EMH, there are no guarantees on the prices of the stock market and thus no investment rules that can bring superior returns. In this light, investors would rather not deviate from the market index.
On the other hand, advocates of behavioral finance is of the belief that biases in behavior is capable of causing stock market prices to be inefficient. Hence making the investors to believe that a deviation from the market portfolio would be advantageous although the level of risk may be high.
Explanation:
Answer:
The net working capital is -$4600.
Explanation:
Use the below formula to calculate net working capital:
Net working capital = Total current assets – Total current liability
Total current liability = $6100
Total current asset = increase in inventory –decrease in account reciveable
Total current asset = $2800 – 1300
= $1500
Now, Net working capital = Total current assets – Total current liability
Net working capital = $1500 – $6100
= - $4600
Thus, net working capital is -$4600.
Answer:
$0
Explanation:
Profits will be $0 if sales turn out to be $3.2 million.
Profit will decrease by ($0.20) million.
Degree of operating leverage = change in operating income ÷ change in sales
![5=\frac{[\frac{EBIT1-0.20}{0.20}]}{\frac{3.2-4}{4} }](https://tex.z-dn.net/?f=5%3D%5Cfrac%7B%5B%5Cfrac%7BEBIT1-0.20%7D%7B0.20%7D%5D%7D%7B%5Cfrac%7B3.2-4%7D%7B4%7D%20%7D)
(EBIT1 - 0.20) ÷ 0.20 = -1
(EBIT1 - 0.20) = -0.2
EBIT 1 = 0
Therefore,
Profits = $0
