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slavikrds [6]
3 years ago
6

In 2012, Carow sold 3,000 units at $500 each. Variable expenses were $250 per unit, and fixed expenses were $250,000. The same s

elling price is expected for 2013. Carow is tentatively planning to invest in equipment that would increase fixed costs by 20%, while decreasing variable costs per unit by 20%. What is Carow’s break-even point in units for 2013?
a. 1,000
b. 1,200
c. 1,250
d. 1,500
Business
1 answer:
Oksana_A [137]3 years ago
8 0

Answer:

A) 1,000 units

Explanation:

We first calculate the revised Fixed and Variable costs for 2013

In 2013,

Fixed costs = 250,000 * 1.20 = $300,000 as a result of 20% increase

Variable costs = 250 * 0.8 = $200 per unit as a result of 20% reduction

This gives us a contribution per unit of,

Contribution = Selling price - Variable costs = 500 - 200 = $300 per unit.

Revised break even point then,

Break even = Fixed Costs / Contribution per unit

Break even = 300,000 / 300 = 1000 units

Hope that helps.

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The ______technique for group decision making in which discussion is structured and the final solution is decided by silent vote
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Answer:

The correct answer is nominal group technique.

Explanation:

This nominal group technique is a type of brain storming where structured meetings are being held among the members, where they will try to take out the solutions to the problems identified by them, and thus facilitating decision making. The meetings are structured here because the goal is to make sure the meetings are not dominated by few individuals and the silent members also share their thoughts and ideas with the rest of the group.

5 0
4 years ago
When a company acquires a 20% - 50% interest in another company, this generally results in Group of answer choices a controlling
Softa [21]

Answer:

A significant level of influence.

Explanation:

Whenever the shares of nay company are being purchased by more than 50%, that gives the purchaser the controlling level of influence on that particular company.

Here in this question the level is between 20% - 50%, which is high and can be termed as significant but not any other term that is present in the options to the question.

Hope this helps you out buddy.

Good luck and Thank You.

6 0
3 years ago
If investors believe that a stock is not providing a return that sufficiently compensates them for the risk of the stock, they w
jarptica [38.1K]

Answer:

<u>sell the stock which will drive it's expected return even lower.</u>

Explanation:

An investor wants to be compensated for the risk undertaken in the form of return. When investors believe that a stock is not providing sufficient return, such stocks would be sold by the investor.

When a stock is not performing well i.e it's current market price goes down, all the investors holding that stock will sell it , leading to it's market price going further down.

Since the market price goes further down, the expected return on such a stock would further decline.

3 0
3 years ago
Omni Corporation's accumulated depreciation—equipment account increased by $5,300, while $3,400 of patent amortization was recog
dmitriy555 [2]

Answer:

Cashflow from Operating Activities

Net Income                                                                 $120,400

Adjastment for Non-Cash Items

Depreciation                                                                  $5,300

Amortization                                                                   $3,400

Adjastments of Items appearing elsewhere

Loss from the sale of land                                            $4,000

Net Cash flow from operating activities                    $133,100

Explanation:

Net Income is reconciled in the cashflow statement via the indirect method. Its is adjasted for Non-Cash Items, Items appearing elsewhere in the cashflow statement and Working Capital Movements

8 0
3 years ago
Department F had 4,000 units in Work in Process that were 40% completed at the beginning of the period at a cost of $12,200. Of
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Answer:

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Unit Cost =

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5 0
3 years ago
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