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aksik [14]
3 years ago
7

Boss Enterprises currently sells its products for per unit. Management is contemplating a ​% increase in the selling price for t

he next year. Variable costs are currently ​% of sales revenue and are not expected to change next year. Fixed expenses are per year. What is the breakeven point in units at the current selling​ price?
Business
1 answer:
devlian [24]3 years ago
5 0

Answer: 5,000 units

Explanation:

Break-even points in units is calculated by;

= Fixed Costs / Contribution Margin per unit

Contribution Margin

= Sales - Variable Costs

= $40 - ( 40 * 40%)

= 40 - 16

= $24 per unit

Breakeven point

= 120,000/24

= 5,000 units

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Olin [163]

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3 0
3 years ago
What is the relationship between the price level and the following components of aggregate demand. a. There is relationship betw
mojhsa [17]

Answer:

a. Negative

b. Negative

c. No

d. Negative

Explanation:

a. There is a negative relationship between price level and consumption. As the price level increases, the real money income and purchasing power of consumers decline. This causes their consumption spending to decline as well.  

b. There is a negative relationship between the price level and investment. A decline in the price level implies that the consumers will need a lesser amount of money. This will cause the demand for money to decrease. The leftward shift in the money demand curve will cause the interest rate to fall. At a lower interest rate, the investment will be higher.  

c. There is no direct relationship between the price level and government spending. An increase in government spending will increase aggregate demand. This, in turn, will cause the price level to increase. Though an increase in price level does not essentially cause government spending to increase.  

d. A higher price level will make domestic goods expensive as compared to imports. This will cause the imports of goods to increase and exports to decline. So an increase in price will cause the net exports to fall.

7 0
4 years ago
A conflict of interest between the stockholders and management of a firm is called: a. stockholders' liability.b. corporate brea
skelet666 [1.2K]

Answer:

the agency problem                  

Explanation:

The issue with the organisation is a conflict of interest present in either partnership where each party is required to look after the interests of someone else. In management consulting, the issue with the corporation generally refers to a conflicts of interest among management of a business and shareholders of the organization.

The management, acting on behalf for stakeholders or executives, will take decisions that increase shareholder value wealth, although it is in the long term interests of the supervisor to maximize his personal riches.    

7 0
3 years ago
Andrew, an employee in a corporate company, is asked to conduct a systematic evaluation of how well the company is meeting its e
Maru [420]

Answer:

The answer is C. Social audit.

Explanation:

To audit means to examine or to inspect. In this light, when an individual is to provide a formal report on a company's code of conduct or procedures in regards to corporate social responsibility, it is considered a social audit. Corporate social responsibility is the accountability that a business has towards society especially from an ethical standpoint. Some elements taken into consideration during a social audit include:

- the number volunteer activities

-work environment either internal or external.

8 0
3 years ago
The following materials standards have been established for a particular product: Standard quantity per unit of output 4.2 pound
Maru [420]

Answer: $18,224 unfavourable

Explanation:

The materials quantity variance for the month will be calculated thus:

= Standard Cost per unit × ( Actual materials Used - Actual output)

= 13.4 × [( 4,300 - 700) × 4.2]

= $18,224 unfavourable

Therefore, the materials quantity variance for the month is $18,224 unfavourable

8 0
3 years ago
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