Answer:
Michone's creditors (listed in order of priority):
- bank = $500,000 mortgage (secured loan)
- child support = $5,000 (priority class of unsecured creditors)
- legal fees = $4,000 (second class of unsecured creditors)
- State government* = property taxes for $8,000 (eighth class of unsecured creditors, but property taxes are always collected after a property is sold either by foreclosure or by court order). Even if the new buyer didn't know anything about the delinquent property taxes, he/she is responsible for paying them after the sale is made and it cannot be avoided.
- car accident victim = $40,000 (tenth class of unsecured creditor)
*Generally taxes owed are a lower class of priority unsecured creditors, but taxes never disappear. In this case, the property taxes are going to be paid by whoever bought the house or the bank in case the house was foreclosed. Michone will not pay them, but someone else will.
Assuming that Michone only had $10,000 left after selling the house (both property taxes and mortgage are paid for), she will need to pay child support first. Child support and alimony payments always have the top priority.
Then with the remaining $5,000 administrative and legal fees will be paid, meaning that the attorney fees will be paid first. The car accident victim will receive only $1,000.
Answer:
The break-even point in dollar sales for the Retail segment equals to $175,000
Explanation:
Break-even point is the point of sales where the business incur no profit and no loss. Business fulfills all the variable and fixed cost requirements at this point.
Retail segment
Contribution margin ratio = 40%
Fixed Expense = $70,000
Break even sales revenue = Fixed cost / Contribution margin ratio
Break even sales revenue = $70,000 / 40%
Break even sales revenue = $175,000
Answer:
P = $75 per club
n= 75,000 clubs
Explanation:
The demand and supply functions are:

The equilibrium price is the price that yields a quantity demanded equal to the quantity supplied:

The number of units sold at that price is:

<span>This is a true statement. When Joseph is setting these plans, he is giving himself a roadmap on how he and his employees will best achieve these goals over the timeframe required. By planning, he can make sure that the business stays on track to meet whatever figures the company has set forth.</span>