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schepotkina [342]
3 years ago
13

Zack Shields leases a manufacturing facility that produces computer monitors. Zack tries to keep production high, because his le

ase payments are $10,500 a month, regardless of whether he produces one computer monitor a month or 10,000. Zach's lease payment is a ________ cost.
Business
1 answer:
Sergeu [11.5K]3 years ago
6 0

Answer: Fixed payment

Explanation: Usually loans come with a variable interest rates, that change over time or fixed rates. When it’s a fixed rate, you will have to pay the same amount (not changing) interest rate over the period of the loan. Interest rates Are usually affected by changes constantly because the economy grows and contracts. But with a fixed rate, your loan is not affected by those changes. This is same as the example no matter how many computers monitors he produces in a month his lease doesn’t increase because it is fixed.

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One year ago, Stacey purchased 100 shares of KNF stock for $3,245. Today, she sold those shares for $35.00 per share. What is th
Nataly [62]

Answer:

7.86%

Explanation:

The computation of the capital gain yield on the investment is shown below:

As we know that

Capital gains yield is

= (Selling price per share × number of shares purchased) ÷ (Stock value) - 1

= $3,500 ÷ $3,245 - 1

= 0.07858

= 7.86%

We simply applied the above formula so that the capital gain yield could come and the same is to be considered

3 0
3 years ago
Green and yellow are adjacent on the color wheel; what does this mean?
matrenka [14]

Answer:

analogous

Explanation:

both green and yellow are a part of analogous

5 0
3 years ago
JTM Ltd incurs costs of $16 per unit ($12 variable, $4 fixed) for a widget it sells for $22. JTM has received two special offers
Mademuasel [1]

Answer:

We must analyze the potential benefits of choosing one order or the other one:

Current JTM costs:

  • $12 variable per unit
  • $4 fixed per unit

If JTM accepts Firm A's order its fixed costs will not vary and it will be able to increase its profits by: ($17 - $12) x 10,000 = $50,000

Since JTM doesn't have the capacity to fulfill Firm B's order with their current cost structure, if it decides to take it, its variable or fixed costs (we don't know which) will probably increase, so its contribution margin will no longer be $5, as with Firm A's order, but will probably be lower. We are not told by how much the costs would increase.

The third alternative is to accept Firm B's offer and not sell 2,000 units through its normal distribution channels, but that would result in an increase in profits but also loss of normal profits:

($5 x 14,000 units) - ($6 x 2,000 units for the lost normal profits) = $70,000 -  $12,000 = $58,000. If JTM is able to cancel the sale of 2,000 units, then Firm B's offer would increase its profits by $58,000, $8,000 more than Firm A's order, but it depends on its ability to cancel or not the normal sales.

3 0
3 years ago
Parents of young children have been known to drive out of their way so their kids will not see McDonald's Golden Arches and plea
Pavel [41]

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know what the Golden Arches brand symbol means.

7 0
3 years ago
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Alfred owned a term life insurance policy at the time he was diagnosed with a terminal illness. After paying $18,300 in premiums
iVinArrow [24]

Answer:

$0

Explanation:

Alfred paid in premiums = $18,300

company paid Alfred = $125,000

Alfred died after 18 months, then,

Company collected the face amount of the policy = $150,000

Sale of policy = [ company compensation - premium paid]

                       = $125,000 - $18,300

                       = $106,700

In this situation, Alfred receives the submission price from the insurance company consequential in profit.

There is no gain in the income of the insurance policy that is purchased by the Alfred for the long term.

That's why he is not required to include the amount of sale of policy i.e. $106,700.

Hence, Alfred required to include in his gross income will be zero ($0).

3 0
3 years ago
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