Answer:
c) relatively high variable costs
Explanation:
Operating leverage is a ratio that is used to analyze and understand the cost structure of a business. It gives the relation between the variable and fixed cost to the the total cost of running the business.
A business with a large amount of fixed cost relative to variable is said to have a high operating leverage . For such business, operating income would be more volatile because the operating income would not increase in commensurate proportion as sales revenue.
And a company with low operating leverage has low amount of fixed cost relative to variable cost and therefore a relatively high variable costs
Operating leverage is calculated as
Contribution /Earnings before interest and Tax
Answer:
The correct answer is letter "B": seeks to ensure the future performance of the project work is aligned with the project management plan.
Explanation:
Preventive actions are defined as those that aim to mitigate risks inherent in the operations of a business. Preventive actions lead to entities creating contingency plans that allow them to have certain strategies in front of unexpected situations that could harm the firm's operations.
<em>The project risk management plan is the reference that prevention actions take at the moment of recognizing the set of activities that should be followed to ensure the optimal future performance of a project.</em>
Answer:
Tax shield on depreciation = 600
Explanation:
given data
new piece of equipment = $11,000
salvage value = $1,000
marginal tax rate = 30%
average tax rate = 20%
time period = 5 year
to find out
net effect of annual depreciation on the free cash flow
solution
we know here cost of asset and Salvage value so we get depreciation cost
depreciation cost is = 11000 - 1000 = 10000
and
annual depreciation = 2000
so that Tax shield on depreciation will be
Tax shield on depreciation = 2000 × 30%
Tax shield on depreciation = 600
Answer:
The answer is: First line manager
Explanation:
A first line manager usually supervises non managerial workers or operators, e.g. foreman or shift boss. They are in charge of the operations of their departments or business units. In other words, they manage the people who perform the work of producing the organization´s goods or services.
Depending on the size of the organization, they respond to middle or executive management.
Answer:
$800
Explanation:
Pedro's tuition costs of $6,000 is a personal expense and does not qualify as a charitable contribution.
Pedro's donation to the church of $1,000 is charity, but he has to deduct the registration fee of $200 from it. Thus, his total charitable contribution is $1,000 - $200 = $800
