Answer:
Break-even point in units= 93 units
Explanation:
Giving the following information:
Its fixed costs are $1000 a week and its variable costs for one batch of umbrellas per week are $500 for 2000 units.
After doing market research, the company sets the price per umbrella at $11.
Unitary variable cost= 500/2,000= $0.25
To calculate the break-even point in units, we need to use the following formula:
Break-even point in units= fixed costs/ contribution margin per unit
Break-even point in units= 1,000/ (11 - 0.25)
Break-even point in units= 93 units
Answer:
The correct option is C) place utility
Explanation:
Place utility is the utility which is created for a product by making that product available to near by locations of the customers so that they can easily get access to those products. Same strategy is being applied in the question by E-gadgets , who are making their stores available to such locations , where their customers ( upper middle class and wealthy neighborhoods) can get access to the products easily( less than 15 minutes in the given case).
Answer:
The $20 ticket to the match.
Explanation:
The sunk cost would be the $20 ticket to the match.
Answer:
c. Because it is a fixed-rate mortgage, the monthly loan payments (which include both interest and principal payments) are constant
CORRECT The interest will decrease while principal increase leaving a net effect of zero through the life of the loan
Explanation:
a. The outstanding balance declines at a slower rate in the later years of the loan's life
FALSE the principal decreases at a higher rate in the lather years as the interest component decreases.
b. The remaining balance after three years will be $225,000 less one third of the interest paid during the first three years
FALSE to know this we need to know the rate
d. Interest payments on the mortgage will increase steadily over time, but the total amount of each payment will remain constant
FALSE as a portion of the principal is being paid, the interest component decreases over time
e. The proportion of the monthly payment that goes towards repayment of principal will be lower 10 years from now than it will be the first year.
FALSE the porportion to pay the principal increase through time.
Answer: The provision for doubtful debts is an accounts receivable contra account, so it should always have a credit balance, and is listed in the balance sheet directly below the accounts receivable line item. The two line items can be combined for reporting purposes to arrive at a net receivables figure
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