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sashaice [31]
2 years ago
12

Woodridge Corporation manufactures numerous products, one of which is called Alpha-32. The company has provided the following da

ta about this product: Unit sales (a) 97,000 Selling price per unit $ 75.00 Variable cost per unit $ 60.00 Traceable fixed expense $ 1,304,000 Management is considering increasing the price of Alpha-32 by 6%, from $75.00 to $79.50. The company’s marketing managers estimate that this price hike would decrease unit sales by 5%, from 97,000 units to 92,150 units.Assuming that the total traceable fixed expense does not change, what net operating income will product Alpha-32 earn at a price of $79.50 if this sales forecast is correct?
Business
1 answer:
RUDIKE [14]2 years ago
5 0

Answer:

$492,925

Explanation:

Net operating income of product Alpha- 32 at a price of $79.50 if the sales forecast is correct.

Unit sales = 92,150 units as per sales forecast

Selling price per unit = $79.50

Contribution:

= Sales - variable costs

= (units sold × Selling price per unit) - (units sold × Variable cost per unit)

= (92,150 × $79.50 ) - (92,150 × $60.00)

= $7,325,925 - $5,529,000

= $1,796,925

Net operating income:

= Contribution - Fixed cost

= $1,796,925 - $1,304,000

= $492,925

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The U.S. Treasury offers to sell you a bond for $715.00. No payments will be made until the bond matures 15 years from now, at w
nalin [4]

Answer:

interest rate is 2.25 %

Explanation:

given data

sell bond = $715

bond matures =  15 years

redeem =  $1,000

solution

we apply here formula that is

amount = principal × (1+r)^{t}    ................1

here put value and we get

1000 = 715  × (1+r)^{15}

(1+r)^{15} = \frac{1000}{715}

solve it we get

r = 0.022617

so rate is 2.25 %

7 0
2 years ago
A company is constructing an asset for its own use. Construction began in 2017. The asset is being financed entirely with a spec
Ira Lisetskai [31]

Answer:

option B

Explanation:

On the off chance that an advantage is being built and is being financed totally with a particular new obtaining. Development costs are spread more than two years The aggregate sum of intrigue cost promoted in the subsequent year is dictated by applying the loan cost on the particular new obtaining to the weighted-normal amassed consumption's for the advantage in both of the years.

The correct answer is option B

 weighted-average accumulated expenditures for the asset in 2017 and 2018.

3 0
3 years ago
Read 2 more answers
A budgeting process that involves the input and negotiation of several layers of management describes the management philosophy
chubhunter [2.5K]

A budgeting procedure that includes the enter and negotiation of numerous layers of control describes the control philosophy of Participative budgeting.

The required details for Participative budgeting in given paragraph

Participative budgeting is a procedure below which humans impacted with the aid of using a price range are actively concerned within side the price range advent procedure. This method offers lower-stage managers a more feel of possession within side the ensuing price range. A basically participative price range does now no longer take high-stage strategic issues into account, so control desires to offer personnel with hints concerning the general path of the business enterprise and the way their man or woman departments suit into it. When participative budgeting is used for the duration of an business enterprise, the initial budgets paintings their manner up via the company hierarchy, being reviewed and probably changed with the aid of using mid-stage managers alongside the manner.

Advantages of Participative Budgeting

This bottom-up method to budgeting has a tendency to create budgets which might be greater workable than are top-down budgets which might be imposed on a business enterprise with the aid of using senior control, with tons much less worker participation.

To know about Participative budgeting click here

brainly.com/question/29304721

#SPJ4

6 0
9 months ago
Angela's monthly disposable income is ​$2 comma 3682,368. She has monthly expenses of ​$2 comma 1272,127 ​(including recreationa
Alchen [17]

Answer:

12.88%

Explanation:

Angela's disposable income $2,368

monthly expenses including recreational expenses ($2,127)

net cash flow $241

after expenses are reduced by $64, her net cash flow will increase to $305

Angela's monthly savings rate = (net cash flow / disposable income) x 100 = $305 / $2,368 = 12.88%

A person's savings rate is how much money they save (do not spend) compared to their total disposable income.

5 0
2 years ago
Which of the following is a business plan most similar to? A pinball machine
pickupchik [31]

Answer:

C: A road map.

Explanation:

Business plans are mapped out just like road map. Pinball machines and dreams are not mapped out and wish lists are just collections of things that you want while a business plan is a plan of action.

Hope this helps!  :)

5 0
3 years ago
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