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OLga [1]
2 years ago
5

Classify the following as fixed or variable costs:

Business
1 answer:
adelina 88 [10]2 years ago
6 0

Answer:

Fixed cost: Interest on company-issued bonds, Real estate taxes, Executive salaries,  Insurance premiums,  Wage payments, Depreciation and obsolescence charges, Sales taxes, Rental payments on leased office machinery

Variable cost: Fuel, Shipping charges, Payments for raw materials,

Explanation:

Fixed costs are costs that are not changed regardless of quantity of goods being produced such as rent for equipment, taxes, depreciation and so on.

Variable costs are costs that change with regard to the quantity of goods being produced such as cost of raw materials, cost of packaging and so on.

Example of fixed and  variable costs are:

  1. Fixed cost: Interest on company-issued bonds, Real estate taxes, Executive salaries,  Insurance premiums,  Wage payments, Depreciation and obsolescence charges, Sales taxes, Rental payments on leased office machinery
  2. Variable cost: Fuel, Shipping charges, Payments for raw materials,
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How would inflation impact on a start up business?
Mariana [72]

Answer:

Let's say that the value of the US dollar goes down due to inflation.

A startup business would have to pay more money to it's employees, spend more money on products, try and charge the same prices, and lose a lot of money. Essentially, more money would be going out than coming in.

5 0
2 years ago
Metallica Bearings, Inc., is a young start-up company. No dividends will be paid on the stock over the next nine years because t
dimulka [17.4K]

Answer:

$51.25

Explanation:

P9 = Next dividend / Required rate r - Growth rate g

P9 = $15 / 14% - 5%

P9 = $15 / 9%

P9 = $166.67

Po = P9 / (1 - Required rate of return)^9

Po = $166.67 / (1 + 0.14)^9

Po = $166.67 / 3.2519

Po = $51.25

So, the current stock price is $51.25.

8 0
3 years ago
When economists say that the demand for labor is a derived demand, they mean that it is Group of answer choices dependent on gov
Katen [24]

Answer:

related to the demand for the product or service labor is producing.

Explanation:

Factors of production can be defined as the fundamental building blocks used by individuals or business firms for the manufacturing of finished goods and services in order to meet the unending needs and requirements of their customers.

In Economics, there are four (4) main factors of production and these are;

I. Land.

II. Labor (working).

III. Capital resources.

IV. Entrepreneurship.

Labor refers to the human capital or workers who are saddled with the responsibility of overseeing and managing all the aspects of production.

Generally, when these aforementioned factors of production are combined effectively and efficiently, they can be used for the manufacturing or production of goods and services to meet the unending requirements or needs of the consumers.

Typically, when economists say that the demand for labor is a derived demand, what they do really mean is that, this demand for labor is related to the demand by the consumers for the product or service labor is producing.

8 0
2 years ago
Which of these is a major effect of innovation?
ss7ja [257]
Well, it is strongly suggested by your point of view. However, considering the alternatives I will assume that you are after potensiell positive effects.
I would first and firemost mention Job creation as a effect. This is due to new productive and innovative perspective which priarily focus on expanding the financial capital; in this way provide facilities and cultivate nationalism.
6 0
3 years ago
Read 2 more answers
For example, in the high end segment analysis on the left, total demand is 2554 and next years growth rate is 16.2% next years d
Evgen [1.6K]

Answer:

2968

Explanation:

total demand is 2554

growth rate is 16.2%

Next year total demand = 2554 + growth (total demand x 16.2%)

= 2554 + 2554*16.2/100

= 2554 + 413.748

= 2967.748

= 2968

8 0
3 years ago
Read 2 more answers
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