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andriy [413]
3 years ago
6

Question 1 (8 points) Ocean City Kite Company manufactures & sells kites for $7.50 each. The variable cost per kite is $3.50

with the current annual sales volume of 55,000 kites. This volume is currently Ocean City Kite's breaking even point. Use this information to determine the dollar amount of Ocean City Kite Company's fixed costs. (Round dollar value to the nearest whole dollar & enter as whole dollars only.)
Business
1 answer:
Alika [10]3 years ago
4 0

Answer:

The correct answer is $220,000.

Explanation:

According to the scenario, computation of the given data are as follows:

Selling price = $7.5

Variable cost = $3.5

Annual sales = 55,000 kites

We can calculate the fixed cost by using following formula:

Fixed cost = Annual sales × ( Selling price - Variable cost )

Fixed cost = 55,000 × ( $7.5 - $3.5 )

= 55,000 × $4

= $220,000

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3 years ago
Logan, an employee of Argon Industries, earned a salary of $60,000 in year 2. In addition, the following two transactions betwee
Mariana [72]

Answer:

$88,000

Explanation:

Calculation to determine What amount of compensation should Argon report in Logan's Form W-2 for year 2

First step is to determine the bargain element

Bargain Element=$25 per share-$10per share

Bargain Element=$15 per share

Now let determine the amount of compensation

Using this formula

Compensation=Salary earned+Taded stock+(Shares of publicly traded stock*Bargain element)

Let plug in the formula

Compensation=$60,000+$13,000+($100 shares*$15 per share)

Compensation=$60,000+$13,000+$15,000

Compensation=$88,000

Therefore the amount of compensation that Argon should report in Logan's Form W-2 for year 2 $88,000

8 0
3 years ago
When a customer chooses to accept an item of value from a business because it requires no incremental spending on the part of th
iVinArrow [24]

Answer:

The correct answer is letter "B": rational people think at the margin.

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7 0
4 years ago
How van an oligopoly cause market failure (8)​
Sladkaya [172]

The correct answer to this open question is the following.

Although there are no options attached we can say the following.

An oligopoly can cause market failure because companies that form the oligopoly do not allow other companies to enter and compete in the market. This action limits consumers to choose from a variety of options, including quality, the best price, and service.

Often, oligopoly associates the strongest or more powerful companies in order to wipe out other minor competitors. They want to establish a dominant presence that affects prices and consumers participation.

Oligopoly practices result in inefficiency and instability in the market. That is why oligopolies are not good for the economy.

The automobile industry is mostly associated with an oligopoly.

When a market is controlled by just a few numbers of companies, but none of them is above the others, we are talking about an oligopoly. They can collude intentionally or not, to establish prizes and to not let other companies compete with them.

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3 years ago
Diwali Airlines has a contract that gives them the opportunity to purchase up to 10,000,.000 jet fuel at $2.00 per gallon. The c
Ad libitum [116K]

Answer:

Option (D) is correct.

Explanation:

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Given that,

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8 0
4 years ago
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