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horrorfan [7]
2 years ago
8

You are considering adding a microbrewery on to one of your firm's existing restaurants. This will entail an increase in invento

ry of $8,000, an increase in Accounts payable of $2,500, and an increase in property, plant, and equipment of $40,000. All other accounts will remain unchanged. What the change in net working capital resulting from the addition of the microbrewery is?
Business
1 answer:
Contact [7]2 years ago
8 0

Answer:

The change in net working capital resulting from the addition of the microbrewery is $5,500 (decrease)

Explanation:

There are 3 key elements of working capital. These are;

  • Inventory
  • Accounts payable
  • Accounts receivable

Given;

increase in inventory = $8,000

increase in Accounts payable = $2,500

Change in net working capital resulting from the addition of the microbrewery = -$8,000 + $2,500

= -$5,500

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Answer:

Jensen company has a contribution margin ratio of 45%. This means that its variable costs are 55% of sales.

This statement is true

Explanation:

Contribution margin ratio is the ratio of contribution to sales. Since the contribution margin ratio is 45%, it implies that variable costs are 55% of sales.

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3 years ago
A stock paying $5 in annual dividends currently sells for $80 and has an expected return of 14%. What might investors expect to
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Answer:

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The globalized world directly impacted the relationship between the employee and the company, as it is necessary to stand out in an environment where there is so much competition, and this is also included in the area of ​​human resources, because through an effective HR management, it is possible to capture and retaining talent for the organization that adapts to a world where there is greater interaction, greater need for innovation and vision.

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