Answer:
Tax on a case of cola is $4 per case.
The burden that falls on consumers is $1 per case.
The burden that falls on producers is $3 per case
False. This is due to the fact that producers already carry a greater share of the tax burden.
Explanation:
Tax on a case of cola = Amount that consumers pay after the tax has been charged - Amount producers receive = $7 - $3 = $4 per case
Burden on consumers = Amount consumers pay after the tax has been levied - Amount consumers pay before tax was levied = $7 - $5 = $1 per case
Burden on producers = Tax on a case of cola - Burden on consumers = $4 - $1 = $3 per case
False. This is due to the fact that producers already carry a greater share of the tax burden.
Answer:
$31,104
Explanation:
EBIT / 12,000
= [EBIT - ($120,000 × .072)] / [12,000 - ($120,000 / $36)]
EBIT = $31,104
Therefore the minimum level of earnings before interest and taxes that the firm is expecting will be $31,104
Answer:
This is an absolutely great idea. The only problem is where are you planning to hold your Business? Where are you selling these candies? How will you spread the word? What can you do to make sure people come back and want more of your product?
Explanation: I always wanted to sell candy when I was little but never pulled the trigger on it. For starters I think you should make the names a bit more of a friendly connotation so people don't assume the worst of your product. Your best bet to sell your items and candies would be at school. Now to be honest more kids are carrying money around now than they ever had when I was in elementary-middle school. This is your best bet. Make sure when you are selling your candies to not go in debt with your business, so many people I know tried this and failed because they put way more money then they were making because they thought it would pay off. Yes sometimes take the risk but almost always if your just trying to make a couple bucks, take it easy and sell for a reasonable price. If it costs about $10 to make "Brown Cows" for about 20 people then sell each brown cow for $1.25 per stick. If you have 20 people who are willing to buy you would make 15 dollars profit. Final thing is actually finding people to sell to. Most people go at these type of things alone which I think is a great idea. But if you want to get the word out even more tell a popular kid that you will pay him 5 for every 20 "Brown Cows" he sells. You can really pay him anything you want as long as your not going over your profit margin! Good luck and I would love to know how this goes!
Answer:
46.07 days
Explanation:
Calculation for the firm's days' sales uncollected for the year
Using this formula
Days' Sales Uncollected Ratio = Ending Accounts Receivable/Net Sales * 365
Let plug in the formula
Days' Sales Uncollected Ratio = ($76,422/$605,500) * 365
Days' Sales Uncollected Ratio = 46.067 days
Days' Sales Uncollected Ratio = 46.07 days Approximately
Therefore the firm's days' sales uncollected for the year is: 46.07 days
Answer - A (7 years)
WORKINGS
To calculate how long it would take for the new refrigerator to pay for
itself in lower utility costs, the cost of new refrigerator will be divided by lower utility cost per
year
Cost of new refrigerator = $598
TO CALCULATE LOWER UTILITY COST PER YEAR
At a cost of only 12 cents per day
Annual cost will be 12 X 365 = 4380 Cents ($43.8)
Cost saved annually = Cost of old refrigerator – Cost of new
refrigerator.
Lower utility cost per year = $132 – $43.8
Lower utility cost per year = $88.2
How long would it take for the new refrigerator to pay for
itself in lower utility costs?
$598 ÷ $88.2
= 6.78 years
Approximately 7 years
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