Answer:
Tunneling Inc.
Degree of operating leverage
= Contribution Margin divided by Operating Income
= $440,000/$290,000 = 1.52
Explanation:
(a) Data and Calculations:
Sales Revenue = $840,000 (10,000 x $84)
Variable cost = $400,000 (10,000 x $40)
Contribution = $440,000
Fixed costs = $100,000
Depreciation = $50,000
Operating Income = $290,000
Tax (21%) ($60,900)
Net Income = $229,100
(b) The degree of operating leverage for Tunneling Inc. is 1.52. It shows the financial impact of a change in sales revenue on Tunneling Inc.'s earnings. Analysts usually work this ratio out to determine this important effect.
Answer:
Answer is Nap.
Explanation:
The surface of the fabric that is used to pluck yarn from fabric is called nap. The process is called napping, in which the fibres are teased and then the soft fur-like surface is created. This process is mostly used yarning of blankets and woollen fabrics.
<span>Glittering generalities is your answer.</span>
Answer:
c. demand is elastic and supply is inelastic.
Explanation:
Elasticity is a measure of how buyers and sellers react to a change in prices, and allow us to analyze supply and demand more accurately.
The price elasticity of demand measures how much the quantity demanded changes due to a change in prices. If the demand curve is elastic, total revenue falls as the price increases. If the demand curve is inelastic, total revenue increases as the price increases.
With an elastic demand curve, an increase in prices leads to a decrease in the quantity demanded, in a greater proportion than the increase in prices, in this way total revenue decreases. and the supply decreases greatly.
What’s that??????
How much is it?
