1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Jobisdone [24]
3 years ago
12

Butler Automotive developed a new diagnostic testing procedure that is expected to increase sales by $10,000 per month. As more

drivers bring in their vehicles, Butler expects to also do more oil changes and brake repairs. As a result, inventory levels of oil and brake parts must be increased by $5,000. Revenues from oil changes and brake jobs are expected to increase by $4,000 per month. An example of an increase in net working capital requirements from the new diagnostic testing procedure is the
A) increase in inventory levels of oil and brake parts of $5,000.
B) increase in revenue of $10,000 per month for the diagnostic testing.
C) increase in revenues from oil changes and brake jobs of $4,000 per month.
D) increase in all activities totaling $19,000 per month.
Business
1 answer:
Bas_tet [7]3 years ago
6 0

Answer:

A

Explanation:

Working capital are the components of the current assets that represents liquidity , readily available for day to day business operation.

It is made up of cash , receivable , payable , inventory balance .

Due to the new development in the business of Butler automotive , there is an upsurge in the demand for oil which has led to the increase in the oil inventory to the tune of $5,000

This means that the required working capital of Butler also has to increase to meet up with the demand.

You might be interested in
Santora Company manufactures two productslong dash—toaster ovens and bread machines. The following data are​ available:
denpristay [2]

Answer:

Thus to maximize profit, Santora Company should manufacture Bread machine only.

The unit of Bread machine can be produced in 2,000 machine hours is 8,000 units

Explanation:

The profit for Toaster Ovens and Bread Machines is $10 and $90 respectively; thus  

six toaster ovens per machine hour will generate profit of $60 = ($10 *6)

four bread machines per machine hour  will generate profit of $360 = ($90 *4)

In the same machine hour the profit from Bread machines are significantly higher then Toaster over. Thus to maximize profit, Santora Company should manufacture Bread machine only.

The unit of Bread machine can be produced in 2,000 machine hours is 8,000 units (= 2,000 * 4)

The profit for 8,000 units of Bread machine is $720,000 = (8,000 * $90)

3 0
4 years ago
What is the benefit of a 529 education saving plan?
Fofino [41]

Answer:

The second statement is true.

Explanation:

  • The school is dependent on what state the 529 is registered with.
  • Option 3 is not a benefit
  • 529 contributions are made with after tax dollars, only interest earned and distributions are tax deffered.
7 0
3 years ago
To determine the net cash provided (used) by operating activities, it is necessary to analyze Group of answer choices the curren
Svet_ta [14]

Answer:

All of these.

Explanation:

All of these are the correct answer because to determine the net cash from the operating activities, there is a requirement of the current year's income statement, additional information such as depreciation and amortization and a comparative balance sheet. In order to get cash from operating activities, the changes and non-cash capital, other non-cash adjustments, depreciation is added to the net income.

8 0
3 years ago
Suppose three companies, Optimax, Megachug, and Thirstoid, dominate the sports drink market. Optimax enjoys the largest market s
mario62 [17]

Answer:

Non-price competition

Explanation:

Non-price competition is when producers use other factors other than the price of their good or service to raise the demand for their product.

Optimax is trying to increase its market share by changing the container for its product. This is non price competition.

Price war is when producers lower the price of their goods in an attempt to increase the demand for their product.

Price leadership is when the dominant firm in an industry sets the market price.

I hope my answer helps you

4 0
3 years ago
When Jenna Henderson works overtime (any hours over 40 hours a week), she us paid 1.5 times her regular hourly rate. Last week,
Aleonysh [2.5K]
Jenna earned $474.50 last week.
3 0
4 years ago
Read 2 more answers
Other questions:
  • The following account balances were drawn from the financial statements of Grayson Company: Cash $ 5,000 Accounts payable $ 1,55
    11·1 answer
  • The rapid spread of brand communities has been one of the major impacts of social media. the harley davidson owners group is one
    8·1 answer
  • A firm has net working capital of $1,770. long-term debt is $4,180, total assets are $11,830, and fixed assets are $3,910. what
    8·1 answer
  • At an activity level of 9,000 machine-hours in a month, Kirk Corporation's total variable production engineering cost is $796,50
    6·1 answer
  • Mr. Lambers refuses to pay income taxes because his conscience will not allow him to support a government that spends billions o
    9·1 answer
  • Consider an asset that costs $120 today. You are going to hold it for 1 year and then sell it. Suppose that there is a 25 percen
    12·2 answers
  • You just purchased a bond that matures in 12 years. The bond has a face value of $1,000 and a 7% annual coupon. The bond has a c
    7·1 answer
  • The maximum price that can be asked for the new jPad model is $2,000 at which point they would sell 0 units. It costs Pear $600
    12·1 answer
  • The Chief Strategy Officer for Miles Corporation is putting together a presentation using the Boston Consulting Group Matrix. Th
    5·1 answer
  • If bank customers decided as a group to pay off their loans and not take out any new loans, ceteris paribus: Group of answer cho
    15·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!