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kow [346]
3 years ago
9

Dilts Company has a unit selling price of $630, variable costs per unit of $380, and fixed costs of $335,000. Compute the break-

even point in units using (a) the mathematical equation and (b) unit contribution margin.
Business
1 answer:
Rudik [331]3 years ago
5 0

Answer:

Q= TFC/(SP-VC)

Break Even Point in Units = 1116.67 ≅1117

Explanation:

Dilts Company

Sales price  $630,

Variable costs per unit  $380,

Contribution Margin 300

Fixed costs  $335,000

The Mathematical Equation

Q= No of units

Total Revenue= TR

Total Cost = TC

Total Fixed Costs= TFC

Variable Costs= VC

Sales Price = SP

Total Revenue= TR= Price Per unit * No Of units = SP * Q

Total Cost = TC = Total Fixed Costs + Variable Costs ( Number of Units)=

                    TC= TFC + VC*Q

Now according to break even the total revenue must equal the the total costs

TR= TC

SP*Q= TFC + VC*Q

On re arranging the above  equation

SP*Q- VC*Q= TFC

Q(SP-VC)= TFC

Q= TFC/(SP-VC)

Number of Units=Total Fixed Costs/Sales Price- Variable Costs

b) Break Even Point in units = Fixed Costs/ Contribution Margin per unit

Break Even Point in units = Fixed Costs/ (Sales- Variable cost)

Break Even Point in Units = $335,000/ 300= 1116.67 ≅1117

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Tema [17]

Answer:

The correct answer is r=(DIV1/P0)+g

Explanation:

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Dividend yield is the percentage of the share's price that the company pays to shareholders as dividends and the formula is the dividends divided by the share price, hence in this scenario it DIV1/PO

On other hand,capital gains yield is the percentage increase of the share price over time. In other words, the share price growth rate,which is a market expectation of the company's performance.The g given in the question depicted this.

Without mincing words,the expected rate of return on the stock is dividends yield(DIV1/P0) plus the capital gains yield(g)

6 0
3 years ago
Select a business/company that you feel does not understand the psychology of waiting and provide examples in their process wher
kramer

Answer:

Let us pick the case of the organization known as Starbucks. Presently we will give 3 models according to which we feel that it doesn't comprehend the brain science of holding up in their procedure where they could deal with the client's view of standing by better utilizing the guideline from the Norman and Maister's articles. While holding up at a Starbucks behind a tremendous line, we can have numerous cases :  

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b) Occupied Time Feels Shorter than Unoccupied Time - While you are remaining in that line, you have an inclination that your 5-10 minutes have been squandered which you could have better used busy working or at home. In this manner, the time was abandoned and hence feels a waste. While on the off chance that the time was involved by some different methods in the line, at that point it would have been justified, despite all the trouble to remain in the line.  

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3 years ago
A broker learns that one of his institutional clients is about to enter a buy order for 10,000 shares of ABC stock. The broker t
irina [24]

Answer:

[D] All of the above.

Explanation:

Front running is the process by which a party to a share purchase has initial knowledge of the future market value of shares that are yet to be issued and makes a proprietary buy order for stock ahead of the client's order.

Normally this can be as a result of insider information which is prohibited, but the options above all allow this practice.

-If the firm can demonstrate that the trade is unrelated to the customer's block order

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6 0
3 years ago
The Baldwin Company has just purchased $40,900,000 of plant and equipment that has an estimated useful life of 15 years. The exp
Svet_ta [14]

Answer:

b. $4,908,000

Explanation:

According to the FASB GAAP, the straight line method is used in this given question which is shown below:

= (Original cost - residual value) ÷ (useful life)

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In this method, the depreciation is same for all the remaining useful life

For two years, the accumulated depreciation would be

= Annual year depreciation × number of years

= $2,454,000 × 2 years

= $4,908,000

7 0
3 years ago
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Juliette [100K]

Answer:

Department of commerce

Explanation:

U.S.-based companies should turn to the department of commerce for the most comprehensive source of export information.

The department of commerce is a section in the United States government. It creates jobs through good and favorable international trade terms, sustainable development and through access to high technology.

It provides companies with trade informations of which exports is one.

6 0
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