Answer: A: International business can be riskier than domestic business but the size of the market makes it a very attractive option.
Explanation:
Answer:
$54,639
Explanation:
the approximate amount of principal reduction when the second lease payment is made in Year 2 can be calculated by making the Lease amortization table as follows
DATA
Annual payments = 68,830
Implicit rate = 8%
Annuty factor for 4 years at 8% = 3.55710
Present value of lease payment =$246,212 (68830*3.57710
)
Year 1 Year 2
Opening balance - $177,382(w)
interest - $14,191(w)
payments $68,830 $68,830
principal payments $68,830 $54,639
closing balance $177,382(w) $122,743
Working
Closing balance = Present value of lease payment - Annual payment
Closing balance = $256,212 - $68,830
Closing balance = $177,382
Interest = closing balance x implicit rate
Interest = $177,382 x 8%
Interest = $14,190.56
Answer:
a. 120,000 units
Explanation:
The formula to compute the break even point is shown below:
= (Total fixed cost) ÷ (Contribution margin per unit)
where,
Contribution margin per unit = Selling price per unit - Variable expense per unit
= $5 - $3
= $2 per unit
And, the total fixed cost is $240,000
So, the break even point in units is
= $240,000 ÷ $2 per unit
= 120,000 units
The answer is C, The method by which the business can be dissolved
The simplest way to explain what continuity factor is it's the assumption that a business organization will always able to operate.
But in the real world, businesses went down all the time, that's why the partners have to find out the method to dissolve the business if somehow the business goes under