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PilotLPTM [1.2K]
3 years ago
10

Plymouth Corp. sells units for $100 each. Variable costs are $75 per unit, and fixed costs are $200,000. If Plymouth leases a ne

w machine, fixed costs will increase by $60,000 a year, but production will be more efficient, saving $5 per unit. At what level of production will Plymouth be indifferent between leasing and not leasing the new machine?
Business
1 answer:
Leona [35]3 years ago
6 0

Answer:

12,000 units

Explanation:

The computation of the level of production is shown below:

Since the variable cost is reduced by $5 so new variable cost is $70 so there is an margin of $5

And, there is an increase in fixed cost i.e $60,000

So, the level of production is

= An increase in fixed cost ÷  Margin per unit

= $60,000 ÷ $5

= 12,000 units

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ipn [44]

Answer: The right communication channel to use in IMC is C. the one that will connect to the desired recipients.

Explanation: IMC stands for integrated marketing communications. IMC helps make sure that all types of communication forms are presented in a way where others can understand the message. When the message is presented in a way others are able to understand, the marketing and promotional tools are all working together correctly.

6 0
3 years ago
g which is debt-free and finances only with equity from retained earnings. You were given the following information: rRF = 3.50%
Pachacha [2.7K]

Answer: 7.46%

Explanation:

The CAPITAL ASSET PRICING MODEL is a very useful tool for calculating a firm's Cost of Equity.

The Formula is,

Rc = Rrf + b(Rpm)

Where,

Rc is the Cost of Equity

Rpf is the Risk risk free rate

b is beta

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Plugging in the digits we have,

Rc = 0.0350 + 0.88(0.045)

= 0.0746

The firm's cost of equity from retained earnings based on the CAPM is therefore 7.46%

3 0
3 years ago
What is the present value of an annuity that pays $58 per year for 13 years and an additional $1,000 with the final payment
Doss [256]

Answer:

$882.03

Explanation:

Interest rate used is 7.23%

Present value is the sum of discounted cash flows

Present value can be calculated using a financial calculator

Cash flow in year 1 to 12 = 58

cash flow in year 13 = 1058

I = 7.23

To find the PV using a financial calculator:

1. Input the cash flow values by pressing the CF button. After inputting the value, press enter and the arrow facing a downward direction.

2. after inputting all the cash flows, press the NPV button, input the value for I, press enter and the arrow facing a downward direction.  

3. Press compute  

6 0
3 years ago
Please help me quickly
zhannawk [14.2K]

Answer:

in all my school years i never seen this and i am in 12th grade

8 0
3 years ago
____ is the best way to help the alcoholic and the family. A not becoming involved B. Open communication C . Tough love
Leya [2.2K]
Out of all your options,, the best answer is option B. the best way to help both the alcoholic and their family is by communicating with both people. by not becoming involved or being rude to give "tough love", you are only making the situation worse. alcoholics are not horrible people and neither are their families,, so the best way to help them both is by helping them communicate to help fix the situation.
let me know if you have any further questions
:)
5 0
3 years ago
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