1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
mr_godi [17]
3 years ago
10

A company with a high ratio of fixed costs:

Business
1 answer:
garik1379 [7]3 years ago
4 0

Answer:

The correct answer is: more likely to experience a loss when sales are down than a company with mostly variable costs.

Explanation:

The fixed cost ratio is a simple ratio that divides fixed costs by net sales.

The profit formula is:

Profit = Sales- Total cost =(Price * Q)-(FC + VC*Q)

Where  

FC=Fixed cost

VC= variable cos t

Q=produce quantity

If sales go down,  we have to pay this fixed cost even if we have no sales.  So if this Fixed cost are high ,  is most likely we are going to experience loss

You might be interested in
What is home equity?
shepuryov [24]
Difference between the purchase price of the home and its current market price
3 0
3 years ago
Read 2 more answers
Creme Bakery just paid an annual dividend of $2.20 a share and is expected to increase that amount by 2.2 percent per year. If y
alekssr [168]

Answer:

$19.47

Explanation:

The computation of the price paid for share is shown below:

= Year second dividend ÷ (Required rate of return - growth rate)

where,

Next year dividend is

= $2.20 + $2.20 × 2.2%

= $2.20 + $0.0484

= $2.2484

In the year 2 , it is

= $2.2484 × 1.022

= $2.2978648

And, the required rate of return is 14%

Plus the growth rate is 2.2%

So, the price paid for the share is

= ( $2.2978648) ÷ (14% - 2.2%)

= $19.47

7 0
3 years ago
1. A = GDP deflator or the CPI for the United States
tatuchka [14]

Answer:CPI, GDP Deflator

Explanation:CPI(consumer price index) is a macroeconomic measure used to determine the level of inflation in countries like the United States of America.

GDP Deflator is also a macroeconomic measure that measures the price level of all the new products produced domestically within a country in a specified year or period.

Both GDP DEFLATOR AND CPI ARE VERY USEFUL IN DETERMINING THE PERFORMANCE OF AN ECONOMY AS GDP DEFLATOR MEASURES DEFLATION,CPI MEASURES PRICE INFLATION IN A SPECIFIC OR BASE YEAR UNDER REVIEW.

3 0
3 years ago
What will happen to the price and quantity of Japanese goods in the US if the dollar depreciates causing the costs of producing
Helga [31]

The prices of Japanese goods will increase.

<h3>Economic Principles of Demand and Supply </h3>

Following the principles of demand and supply, the higher the price, the higher the quantity supplied (all other factors remaining constant).

Recall that cost of production for Japanese goods has also increased according to the question. When prices increase, suppliers sometimes want to take advantage to create even additional inflation in order to get additional profit. Hence they put out more goods at the instance of increased prices.

See the link below for more about the law of supply:
brainly.com/question/4803223

3 0
3 years ago
A company's direction, objectives, and strategy Group of answer choices are set in stone as the end of the planning process. nev
STALIN [3.7K]

Answer:

are never final, as managing strategy is an on-going, dynamic process.

Explanation:

In Business management, a strategy can be defined as a set of guiding principles, actions and decisions that an organization combines so as to achieve its business goals, attract customers and possess a competitive advantage over its rivals in the industry.

Business strategy sets the overall direction for the business because it focuses on defining how a business would achieve its goals, objectives, and mission; as well as the funds and material resources required to implement or execute the business plan. The components of a business strategy includes the following;

I. Value.

II. Vision.

III. Mission.

Hence, a company's direction, objectives, and strategy are never final because managing strategy is a continuum or an on-going, dynamic process. Thus, it's never a now and then task.

6 0
3 years ago
Other questions:
  • Overall levels of income, employment, and prices are determined by the spending and production decisions of all of the following
    11·1 answer
  • The budget of an economy is said to be in deficit when:
    9·1 answer
  • As the production manager, Carlos prefers long production runs of thousands of units in order to drive down unit costs. Anita, t
    5·1 answer
  • I need help writing a witness statement. I am a domestic abuse therapist in a mock trial and i need to write a witness statement
    11·1 answer
  • On January 1 of the current year, the Barton Corporation issued 8% bonds with a face value of $73,000. The bonds are sold for $7
    9·1 answer
  • Lawrence needs to respond to a coworker's email. In a plain text email,the coworker has asked Lawrence a number of questions.Law
    14·2 answers
  • On January 1, Year 1, Abbott Company granted 92,000 stock options to certain executives. The options are exercisable no sooner t
    7·1 answer
  • What are the five elements in the management​ process? A. ​organize, plan,​ control, staff, and manage B. ​accounting, finance,​
    15·1 answer
  • When a firm shifts from transactional selling to a value-added and relationship approach, a number of changes have to take place
    7·1 answer
  • The availability of a commodity is referred to as its
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!