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muminat
3 years ago
7

Goldin Corporation currently pays its salesperson a flat salary of $5,000 per month and is considering paying him $20 per unit i

nstead. Sales are currently 200 units per month. Goldin believes the compensation change will increase unit sales by 80%. The current contribution margin is $80 per unit. If the change is implemented, net operating income will:
a. decrease by $1,000b. decrease by $7,000c. increase by $7,000d. increase by $1,000
Business
1 answer:
Neporo4naja [7]3 years ago
4 0

Answer:

C. Increase by $7,000

Explanation:

Current net operating income

($80 x 200) - $5,000

$16,000-$5,000

= $11,000

With the change the net operating income will be:

($80 - $20) x 200 x 150%

($60)×200×1.5

($60)×300

= $18,000

$18,000-$11,000

=$7,000 Increase

Therefore If the change is implemented, net operating income will: be an increase of $7,000 per month because the current net operating income was $11,000 and with the change the net operating income was increased to $18,000 which is why the income will increase by $7,000.

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4 0
1 year ago
DEF Ltd is a global leader in the manufacture, integration and support of networking and telecommunications systems. The company
Serjik [45]

Some of the challenges of this company include lack of control over financial reporting in all branches, and inaccurate data to make decisions for next years.

DEF Ltd's main problem is the inaccuracy regarding the recognition of revenue and other inconsistencies in financial reporting. This problem includes:

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Moreover, these problems are intended to be solved through a review process and training seminars. These two ideas are useful for the problem; however, the company might face some challenges and problems such as:

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Note: This question is incomplete; here is the missing part:

Using the disclosures above as a starting point, brainstorm about the challenges regarding internal controls and that a company may face in doing business internationally?

Learn more in: brainly.com/question/10916805

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No Habla Espanol e tu?

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2 years ago
if the discount (or interest) rate is positive, the future value of an expected series of payments will always exceed the presen
AlekseyPX

if the discount (or interest) rate is positive, the future value of an expected series of payments will always exceed the present value of the same series

True

What is a discount(or interest) rate?

An interest rate is the rate of return the present value of the series can over as an interest over the investment time horizon.

On the premise that the interest rate is positive, it means that there would positive value-added over the investment period which increases the present value to ensure that the future value exceeds the present value

In other words, a positive discount or interest ensures a higher future value

Find out more about future value on:brainly.com/question/24703884

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A is the correct answer for me for u I don’t know
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