Answer:
$7.32K or $ 7,320 and $5.7098K or $5,709.8
Explanation:
Colby total sales : 14K
Week I: $35 K
week 2: $14 K
week 3: $24 K
week 4: $39 K
Total sales were $122 K($ 35+14+24+39)
Straight commissions total are 6% of all sales
=6/100 x $122
= $7.32K or $ 7,320
the total after taxes
The tax rate is 22%
Actual tax = 22/100 x $7.32
=0.22 x $7.32
=$1.6106
After tax = 7.32- 1.6102
=$5.7098K or $5,709.8
Answer:
The answer is: A) $0
Explanation:
I am assuming Stuart's stock is part of his retirement account. If this is true, then the stock dividends and stock splits are not taxed as they are earned (but they will be taxed later when Stuart starts receiving his distributions).
If Stuart's stock was not part of his retirement account, then he would have to pay taxes (usually a 15% tax rate applies).
Answer:
The PV of costs is ($25,192.61) and the equivalent annual annuity is ($7,947.53).
Explanation:
PV Formula = $20,000 + OC 1 / (1 + interest rate) ∧1 + OC 2 / (1 + interest rate)∧ 2 + OC 3 / (1 + interest rate)∧ 3 + OC 4 / (1 + interest rate)∧ 4
where:
PV = Present Value
OP = Opertaiing Cost
PV = $20,000 + 1500/1.1∧1 + 1600/1.1∧2 + 1700/1.1∧3+ 1800/1.1∧2+ 1800/1.1∧4
PV = $20,000 + 1,363.63 + 1,322.31 + 1,277.23 + 1,229.42
PV = $25,192.61
Equivalent Annual Annuity = r (NPV)/1-(1+r)∧-n
EAA = 0.1 X $25,192.61/0.31699
EAA = $7,947.53
Answer:
False
Explanation:
In a perfectly competitive market the sales revenue is based on pricing also. As the pricing policy also plays an important role in the marketing technique to attract customers.
As the quality served is generally the same in the market, there is no issue in that but when the price is reduced expected sales will increase and accordingly the expected revenue also increases.
As the sales is expected to increase the revenue will also increase accordingly, even though the price is reduced, due to increase in sales quantity the expected change shall not be same as that of the change in price.
Thus, the statement is False.