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Elanso [62]
3 years ago
6

Cindy operates Birds-R-Us, a small store manufacturing and selling 200 bird feeders per month. Cindy's monthly total fixed costs

are $800, and her monthly total variable costs are $1,500. If for some reason Cindy's variable cost decreased to $1,000, then her:__________.
Business
1 answer:
zysi [14]3 years ago
4 0

Answer:

Net profit would increase.

Explanation:

Variable costs are a determinant of profitability. Going by the contribution margin method, net profit is obtained by deducting the fixed cost from the total contribution margin.

The total contribution is revenue minus variable cost. For R U, the revenue will be selling price multiplied units sold. If variable costs reduce, contribution margin will increase. If selling price and units sold the same remain constant, a reduction in variable costs would lead to an increase in net profits.

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Southern Markets has sales of $78,400, net income of $2,400, costs of goods sold of $43,100, and depreciation of $6,800. What is
Helen [10]

Answer:

36.35%

Explanation:

According to the scenario, computation of the given data are as follows,

Sales = $78,400

Net income = $2,400

Cost of goods sodl = $43,100

Depreciation = $6,800

So, we can calculate the EBIT value by using following formula:

= EBIT ÷ Sales

= ($78,400  - $43,100 - $6,800) ÷ ($78,400)

= $28,500 ÷ $78,400

= 36.35%

Hence, the common-size statement value of EBIT is 36.35%

3 0
3 years ago
You want to buy a new sports coupe for $75,500, and the finance office at the dealership has quoted you a 7.9 percent APR loan f
MAVERICK [17]

Answer:

$1,295.03

Explanation:

To find the answer, we will use the present value of an annuity formula:

PV = A ( 1 - (1 + i)^-n) / i

Where:

  • PV = Present Value of the investment (in this case, the value of the loan)
  • A = Value of the Annuity (which will be our incognita)
  • i = interest rate
  • n = number of compounding periods

Now, we convert the 7.9 APR to a monthly rate. The result is a 0.6% monthly rate.

Finally, we plug the amounts into the formula, and solve:

75,500 = A (1 - (1 + 0.006)^-72) / 0.006

75,500 = A (58.3)

75,500 / 58.3 = A

1,295.03 = A

Thus, the monthly payments of the car loan will be $1,295.03 each month.

8 0
3 years ago
abc has a $5 million liability at december 31, 2018, of which $1 million is payable in each of the next five years. abc reports
lisabon 2012 [21]

abc  should reports the liability on the balance sheet as a: $1 million current liability and a $4 million long-term liability.

<h3>Liability</h3>

The liability will appear in the balance sheet as:

Current liability (Payable)= $1 million

Long term liability=$5 million-$1 million

Long term liability=$4 million

Therefore abc  should reports the liability on the balance sheet as a: $1 million current liability and a $4 million long-term liability.

Learn more about liability here:brainly.com/question/24534918

#SPJ11

8 0
2 years ago
________ appeals help consumers make purchase decisions by offering factual information that encourages consumers to evaluate th
Anika [276]

"Informational" appeals help consumers make purchase decisions by offering factual information that encourages consumers to evaluate the brand favorably on the basis of the key benefits it provides.

<h3>What is informal appeals?</h3>

A corporate message typically substitutes data and figures for a main notion. A business message should make sure to properly state any significant dates, locations, times, etc.

The powerful business report can be written as-

  • Business reports always are formally presented, impartial, and thoroughly researched. If the study focused on a specific issue or analyzes the actual quality of a whole organization, every data must be accurate and reliable.
  • A business report must be objective, therefore stay away from stating to the reader how and where to feel in your descriptions.
  • Let the sales statistics speak for itself, rather than saying something like "Sales were bad last quarter," if last quarter's sales were down. Person pronouns, such as "I believe we should invest that money," should also be avoided.
  • A business report must to be objective and presented from the viewpoint of the company.

To know more about parts of a business report, here

brainly.com/question/11599232

#SPJ4

5 0
2 years ago
An example of income that would be included in the underground economy but not included in the GDP is
DENIUS [597]
<span>GDP, or Gross Domestic Product, is typically defined as services, products, goods produced and bought by an national economy in a specific time frame, and is measured comparatively to a time period before. Bitcoin is an example of an underground currency that is not part of the GDP, due to no production of goods or services for the nation and not regulated by government.</span>
7 0
3 years ago
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