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Mrrafil [7]
3 years ago
9

In order to remain competitive, Big Bus Lines must reduce its average ticket price by 15%. However, the firm still wants to rema

in profitable. Which of the following options would allow Big Bus Lines to remain profitable while dropping its ticket prices?
A : decreasing its variable costs by at least 15%
B : increasing its variable cost per ticket by at least 15%
C : decreasing its number of passengers by at least 15%
D : decreasing its total fixed costs by at least 15%
Business
1 answer:
Elza [17]3 years ago
8 0

Answer:

A : decreasing its variable costs by at least 15%

Explanation:

Variable costs depend on the number of passengers they transport as there will be a decrease of the 15 %in the income received by each passenger. Then, it must be an equal reduction on the expenses generated by each passenger in order to remain competitive.

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nco purchased a computer for $200,000 and this machine is expected to generate annual cash flows of $48,271 over the next 5 year
Anika [276]

Answer:

The expected rate of return on this investment is:

21%

Explanation:

Cost of computer = $200,000

Annual cash flows for 5 years = $48,271

Total cash flows = $241,355 ($48,271 x 5)

Returns = $41,355 ($241,355 - $200,000)

The expected rate of return = Returns/Costs * 100

or the average of returns and the average of investments (they yield the same results)

Using the total returns and investment:

= $41,355/$200,000 * 100

= 21%

Using the average returns and investment:

= $8,271/$40,000 * 100

= 21%

4 0
3 years ago
HELP ME PLEASE !!!
Alecsey [184]

Answer:

a. financial records can be searched more easily

Explanation:

Computer technology has aided in the automation and integration of an organization's financial records in a single system. A business's financial data relating to several financial years are accessible from a single computer. Computer technology has made it easy to collect, analyze, report, and interpret financial records.

Through computer technology, financial records are organized and stored in a manner that is easy to retrieve. It takes very little time to access the required financial information as long as it was labeled correctly and stored.

3 0
3 years ago
The fact that there are now more single people going on vacation is a behavioral trend observed in the hospitality and tourism i
dimulka [17.4K]

Answer:

true

Explanation:

7 0
3 years ago
TH Manufacturers expects to generate cash flows of $129,600 for the next two years. At the end of the two years the business wil
arsen [322]

Answer:

Vo  = <u>C1  </u>    +        <u>C2 + V2</u>

        1 + k              (1 + K)2

Vo = <u>$129,600  </u> +   <u>$129,600 + $3,200,000</u>

        1 + 0.14            (1 + 0.14)2

Vo = $113,684.21  + $2,562,019.08

Vo = $2,675,703.29

The correct answer is C

Explanation:  

The current value of the business equals cashflow in year 1 divided by 1 + K plus the aggregate of cashflow and sales value in year 2 divided by 1 + k raised to power 2.

7 0
3 years ago
Two carpenters at a cabinet company are interested in receiving a raise in salary. Matt has worked for many years at the company
son4ous [18]

Answer:

C.

Explanation:

Jason will get the raise because even though he is new he works hard like he's been there for years. Matt will not get it because even though he has worked there for a while he doesn't do his job good.

Explanation:

5 0
2 years ago
Read 2 more answers
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