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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

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2 years ago
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When Carlos Bustamante received the Alumni of the Year award at his alma mater's annual award dinner, he gave a speech thanking
Angelina_Jolie [31]

Answer: Option B

             

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7 0
2 years ago
Which of the following statements regarding first-in, first-out (FIFO) process costing is/are true?(A) First-in, first-out (FIFO
Sveta_85 [38]

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6 0
3 years ago
Which of the following describe some of the trade-offs faced by a family deciding whether to buy a new car? Check all that apply
GaryK [48]

Answer:

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3 years ago
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irakobra [83]

Answer:

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Explanation:

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