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4 years ago

Developed nations have lower labour costs than Asian businesses. true or false

1 answer:

3 0

False, in developed nations labor costs are much much higher which is why labor is sent over to less developed countries

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Cherokee Inc. is a merchandiser that provided the following information: Number of units sold 14,000 Selling price per unit $ 16

DanielleElmas [232]

Answer:

Results are below.

Explanation:

First, we need to calculate the cost of goods sold:

COGS= beginning finished inventory + cost of goods purchased - ending finished inventory

COGS= 12,000 + 87,000 - 23,000

COGS= $76,000

Traditional format income statement:

Sales= 14,000*16= 224,000

COGS= (76,000)

Gross profit= 148,000

Total selling expense= (20,000 + 14,000*1)= (34,000)

Total administrative expense= (13,000 + 14,000*1)= (27,000)

Net operating income= 87,000

Contribution format income statement:

Sales= 14,000*16= 224,000

Total variable cost= (76,000 + 14,000 + 14,000)= (104,000)

Contribution margin= 120,000

Total fixed selling expense= (20,000)

Total fixed administrative expense= (13,000)

Net operating income= 87,000

5 0

3 years ago

A market growth factor that explains customers' perceptions of a new product as better at satisfying their needs than the produc

Serhud [2]

This is the answer to

8 0

2 years ago

What are the relative merits of three trade agreements and alliances?

IgorLugansk [536]

What are the relative merits of three trade agreements and alliances? WTO governs international trade. NAFTA is with North America. EU is Europe's trading bloc.

Trade agreements are essentially pacts between various countries that allow of trade between them. The trade is constructed and based on setting up tax, tariff and treaty agreements that allow for the participants to have investments within the trade. Two or more countries participate on the terms of their trade agreements which allows them to trade with one another.

8 0

3 years ago

McDougan Associates, a U.S. based investment partnership, borrows EUR 80,000,000 at a time when the exchange rate is USD1.3460/E

ivolga24 [154]

Answer:

The effective cost of this loan for McDougan Associates: 3.06%.

Explanation:

* The exchange rate over the 3-year of borrowing is:

Y1: USD/EUR: 1.3460 x ( 1 -3%) = 1.3056

Y2: USD/EUR: 1.3460 x ( 1 -3%)^2 = 1.2665

Y3: USD/EUR: 1.3460 x ( 1 -3%)^3 = 1.2285

* Interest payment in USD at each year are and principal payment at the end of 3 years:

Y1: 80,000,000 x 6.250% x 1.3056 = $6,528,000

Y2: 80,000,000 x 6.250% x 1.2665 = $6,332,500

Y3: (80,000,000 x 6.250%+80,000,000) x 1.2285 = $104,422,500.

* Principal borrowing at the beginning in term of USD = 80,000,000 x 1.3460 = $107,680,000.

=> Effective cost of this loan ( denoted as x) is equal to the discount rate of future repayment ( in term of USD) that equalize the net present value of future repayment to its principal borrowing:

6,528,000/ (1+x) + 6,332,500/(1+x)^2 + 104,422,500/(1+x)^3 = 107,680,000 <=> x = 3.06%

Thus, Effective cost of this loan is 3.06%.

7 0

3 years ago

What recommendations/actions would you provide to a coworker if they did not understand an email that was written by their super

valentina_108 [34]

My recommendation would be: communicate directly to the supervisor to clarify the intend of the email

Most employees believed that asking clarification to their supervisor would reflect badly on them since it make them look incompetent.

But most supervisors are trained to provide employees with guidance if they do not understand their assignment. And, following the wrong order would be significantly worse compared to not able to understand an email.

4 0

3 years ago

Read 2 more answers