Answer:
= 1.73
Explanation:
For computation of degree of operating leverage first we will find out the operating income which is shown below:-
Particulars Amount
Sales $240,000 (3000 × $80)
Variable expenses $84,000 (240,000 × 35%)
Contribution margin $156,000
Fixed Costs $66,000
Operating income $90,000
Degree of operating leverage = Contribution margin ÷ Operating income
= $156,000 ÷ $90,000
= 1.73
Answer:
Chen should buy the machine
Explanation:
Buying of the new milling machine would make a business sense if the net present value of the new machine is positive.
By net present value I mean if the today's worth of the asset considering its initial cash outflow and subsequent cash inflows bring about a positive worth today.
Net present value=initial cost-cash inflows(discounted to today's terms)
Net present value=-$40,000+($8000*6.4177)
=-$40,000+51341.6
=$11,341.60
The 6.4177 is the annuity factor for 9% cost of capital for 10 years.
Since the project has a positive net present value,Chen should buy the machine
Why are all these questions so hard I don’t know the answer
Answer:
The correct answer is d) enterprise resource planning (ERP) system
Explanation:
Enterprise resource planning (ERP) is a system utilized by corporations to administrate their businesses, implementing the resources to plan and integrate all of the processes needed to run their companies with a single system. An ERP software system combines planning, human resources, sales, marketing, finance and purchasing inventory.
When it has a strong demand from consumers and slightly more supply then it's demand. And of course, if the company is more famous, provides good quality service, and has little down peak of it's business.
I hope it helped you!
