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OLEGan [10]
3 years ago
5

the costs of running a business are called ___________. a. startup costs b. cash flow c. operating expenses d. fixed costs

Business
2 answers:
Molodets [167]3 years ago
8 0

The costs of running a business are called <u>"operating expenses".</u>


Operating expenses will be costs related with the maintenance and organization of a business on an everyday premise. The operating expense is a segment of working pay and is typically pondered an organization's pay articulation.  

Organizations need to monitor both operating expenses and expenses related with non-working exercises, for example, interest costs on an advance. The two expenses are represented diversely in an organization's books, enabling investigators to decide how costs are related with income creating exercises and regardless of whether the business can be run all the more productively.

ycow [4]3 years ago
3 0
C. Operating costs.
When you are in business and running it, you need funds to keep it operating.
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baherus [9]

Answer:

$575,000

Explanation:

Data provided:

The total amount for the credit agreement = $7,000,000

The amount borrowed by the firm = $6,000,000

The annual commitment fee for the unused balance = 0.5%

Prime rate of interest = 8%

Interest paid above the prime rate = 1.5%

Now,

the unused amount = $7,000,000 - $6,000,000 = $1,000,000

The amount of commitment fees paid

= total unused amount × Annual commitment fees

= $1,000,000 × 0.005

= $5000

Total interest paid on the borrowed amount

= Amount borrowed × (prime rate + additional rate)

= $6,000,000 × ( 0.08 + 0.015)

= $6,000,000 × 0.095

= $570,000

Hence,

the total dollar annual cost of the revolver

=  interest paid on the borrowed amount + amount of commitment fees paid

= $570,000 + $5000

= $575,000

4 0
3 years ago
Seidman Company manufactures and sells 20,000 units of product X per month. Each unit of product X sells for $17 and has a contr
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Answer:

Effect on income= $115,000 decrease

Explanation:

Giving the following information:

Fixed costs= $45,000

Number of units= 20,000

Unitary contribution margin= $8

<u>To calculate the effect on income, we need to use the following formula:</u>

Effect on income=  decrease in fixed costs - decrease in contribution margin

Effect on income= 45,000 - 20,000*8

Effect on income= $115,000 decrease

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2 years ago
The trading bloc consisting of 28 trading partners in europe is the ____.
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Expected profit is the probability of receiving a profit multiplied by the profit

So

Strong 50,000 * .30 = 15,000

Moderate = 10,000 * .60 = 6,000

Recession = -50,000 * .10= -5,000

Add those up, and you should expect a profit of around 16,000

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