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MAXImum [283]
4 years ago
8

What affect a sales volume increase or decrease will have on unit fixed cost, unit variable cost, total fixed cost, and total va

riable cost?
Business
1 answer:
BARSIC [14]4 years ago
8 0

Answer:

Fixed Cost:

Total remains unchanged at total level.

And are variable at unit level, increase at lower level and decrease as higher level.

Variable Cost:

At unit cost, are the same, are the cost of producing one unit.

At total variable cost, it will increase along with sales and decrease when the sales are lower.

Explanation:

The unit fixed cost will be variable at unit level. As this amount will be distribute over more or less units.

So an increase of sales, decrease the unit fixed cost

and decrease of sales, increase the unit fixed cost

At total level, the fixed cost are the same for hte relevant range.

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To assist your client in mitigating risk, while accepting a reasonable level of risk, what would you advise your client to do? (
Verizon [17]

Answer:

c. Wait to act until all information is known

Explanation:

  • Risk management or mitigation is the identification and the evaluation and prioritizing if the uncertainty that is followed by the minimize monitor and control the impacts or maximize the relational of opportunities. The best method is to obtain full information and avoid the impacts of the risk.
7 0
3 years ago
Your company has completed an audience analysis for the manual you are writing for users of a new accounting system. The manual
elena55 [62]

Answer:

By finding a factor that all have in common: that they are currently in the company and know how it works.

Explanation:

The manual that employees will have aboutthe new accounting system has to be the easiest to ready as possible. As the text mentions, in the company I have experienced accountants and others that are not and employees from different degree levels. Some might understand certain infromation and some might not.

However, what they all have in common is that they are all working in the company and know the current accounting system, because is something that concerns them, even though they have years working them, are new or are not going to last longer.

The best I can do is take advantage of that fact and show them the differences between the old accounting system with the new ones, by that way they will be able to land the information and understand it correctly.

3 0
3 years ago
How do economists sometimes measure physical capital in a country?
Oksanka [162]
Economists can measure physical capital in a country by unconventionally assessing the size of the employed population and their level of education which though not necessarily a conventional type of physical capital still it is essential to activate the inanimate physical capital. Conventional physical capital could be natural resources like forests, mineral deposits, and fisheries but more likely would mainly include man-made machines like tractors for farms, trucks for trucking produce, trains, factories, mine buildings and crushers etc.
4 0
4 years ago
You find an apartment that rents for $320 per month. you are also responsible for utilities that average $80 per month. what is
iren [92.7K]
Likely yearly cost based on the above information and no other expenses is $4,800
7 0
3 years ago
The calculated cost of trade credit for a firm that buys on terms of 2/10, net 30, is lower (other things held constant) if the
ANTONII [103]

Answer:

A. True

Explanation:

The terms of 2/10, net 30 implies that the firm is entitled to receive a 2 percent discount if it makes payment within 10 days for the goods it bought on term but the seller expects to pay full amount of the amount due in 30 days if it fails to pay within 10 days.

However, since there will be no more discount after the discount period, the cost of trade credit will continue to fall longer the payment is extended. For this question this can be demonstrated using the formula for calculating the cost of trade discount as follows:

Cost of trade discount = {[1 + (discount rate / (1 - discount rate))]^(365/days after discount)} - 1 ................... (1)

We can now applying equation (1) as follows:

<u>For payment in 40 days </u>

Cost of trade credit (payment in 40 days)= {[1 + (0.02 / (1 - 0.02))]^(365/40)} - 1 = 0.202436246672765, or 20%

<u>For payment in 30 days </u>

Cost of trade credit (payment in 30 days) = {[1 + (0.02 / (1 - 0.02))]^(365/30)} - 1 = 0.278643315029666, or 28%

<u></u>

<u>Conclusion</u>

Since the 20% calculated cost of trade credit for payment in 40 days is lower than 28% calculated cost of trade credit for payment in 30 days, the <u>correct option is A. True</u>. That is, the calculated cost of trade credit for a firm that buys on terms of 2/10, net 30, is lower (other things held constant) if the firm plans to pay in 40 days than in 30 days.

4 0
3 years ago
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