Answer:
6%
Explanation:
The computation of the margin of safety percentage is shown below;
The Contribution margin ratio is
= Contribution margin ÷Sales
= ($675,00 ÷ $270,000)
= 0.25
Now breakeven point in dollars is
= Fixed cost ÷ Contribution margin ratio
= ($63,750 ÷ 0.25)
= $255,000
We know that
Margin of safety = Total sales - Breakeven sales
= ($270,000 - $255,000)
= $15,000
Now Margin of safety % is
= MOS ÷ Total sale
= ($15,000 ÷ $270,000)
= 5.56%
= 6%
I will assume this is a true or false question. The answer is false.
In the normal costing, the current prices in the market are being used for a direct materials and labor. The overhead rate is only estimated. It uses the estimates of the labor and the material as also the overhead.
Answer:
A) Roasters delivers the goods to Speedy
Explanation:
Risk of loss under the law of contracts is used to determine which party should bear the burden of risk for damage occurring to goods after the sale has been completed, but before delivery has occurred. This is normally used after the contract is formed but before buyer receives goods, something bad happens.
- The breaching rule applies risk of loss on the seller if at the time of delivery, the goods show up broken.
- Risk of loss shifts from seller to buyer at the time that seller completes its delivery obligations
- For a destination contract, then risk of loss is on the seller
- For a delivery contract, then risk of loss is on the seller
- if the seller is a merchant, then the risk of loss shifts to the buyer upon buyer's "receipt" of the goods. If the buyer never takes possession, then the seller still has the risk of loss
Answer:
intersection point
Explanation:
Confluence means a meeting point or coming together. It is the point at which two or more variables join together. In the law of demand and supply, the equilibrium point is the level where demand meets supply. It is the intersection point of the demand and supply curves.
Confluence point of demand and supply curves will mean the quantity demanded and the quantity supplied will be equal. The confluence point will give a price and quantity acceptable by both buyers and suppliers. As the confluence of demand and supply curves, buyers are willing and able to purchase all the quantities firms are selling at that price level.
Answer:
The solar system can be a metaphor for micro and macroeconomics in the real world.
Explanation:
There are several physical systems in the real world that can act as a metaphor for micro and macroeconomics. The solar system, for instance, can perfectly serve as a metaphor for micro and macroeconomics. The study of a single planet in the solar system can be microeconomics or the study of the solar system in the galaxy is macroeconomics. While the study of the galaxy as a whole will be macroeconomics.
