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guapka [62]
3 years ago
8

EA11.

Business
1 answer:
stich3 [128]3 years ago
6 0

Answer:

The question is incomplete. The complete question is given as follows:

                  Selling Price per unit Variable  cost per unit

Product                                 $                          $

Snowboards                          320.00                170.00

Skis                                  400.00                225.00

Poles                                     50.00                 20.00

Answer:  Snowboard-840 units, Ski- 360 units and Poles-240 units

Explanation:

The break-even point is the activity level where the total cost of a business is the same as its total revenue. At this point, the business makes neither profit nor loss. This analysis helps a firm to know how many clients to be served or units to be produced in order to cover its fixed costs.

A break-even point can be calculated using the following relationships below:

A single-product scenario

Break-even point (in units) = Total general fixed costs/(selling price -Variable cost)

Multiple-products scenario

Break-even point (in units) = Total general fixed costs/ average contribution per unit.

Total general fixed costs are period costs which remain the same within a given activity level, and cannot be said to be incurred for a specific product.

We will use use the second formula, because there are multiple product

                                           Snow               Ski              Poles  

                                                $                    $                    $                  

Selling price                           320                400              50              

Variable cost                          <u>(170)</u>               <u>(225)</u>           <u> (20)</u>

Contribution(SP-VC)               150                     175           30

Cont. from a mix(cont × unit)  1050                525              60

Average contribution = (1050+525+60)/(7+3+2)

                                    = $136.25

Break-even point (in units)  = $196200/$136.25

                                    = 1,440 units.

Salvador will need to sell a total of 1,440 units in following mix to break-even:

Snowboards= (7/12) *× 1,440= 840 units

Skis=   (3/12) × 1,440= 360 units

 Poles   =  (2/12) ×1.440= 240 units

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The market share held by the "Other" category (which includes dark pools) constitutes roughly ______% of trading volume in NYSE-
Volgvan

Answer:

The correct word for the blank space is: 30%.

Explanation:

The New York Stock Exchange (<em>NYSE</em>) is the largest, oldest, and best-known stock exchange in the world. The market capitalization of the NYSE's listed companies is unmatched. Its listings feature most of the world's largest and best-known corporations. The NYSE requires a high standard before the stock can be listed. This is why there is around 30% of the listed companies in the NYSE that trade in other markets because they are not considered qualified.

4 0
2 years ago
Select the correct statement from the following,assuming Carmichael Company had a favorable direct materials price variance of $
Murljashka [212]

Answer:

Total direct material variance= $1,000 favorable

Explanation:

Giving the following information:

Company had a favorable direct materials price variance of $3,000 and an unfavorable direct materials usage variance of $2,000.

<u>To calculate the total direct material variance, we need to use the following formula:</u>

<u></u>

Total direct material variance= price variance +/- quantity variance

Total direct material variance= 3,000 - 2,000

Total direct material variance= $1,000 favorable

4 0
3 years ago
Debit CreditCash $2,870 Accounts Receivable $3,231 Supplies 800 Equipment 3,800 Accounts Payable 2,666 Unearned Service Revenue
nirvana33 [79]

Answer:

TRIAL BALANCE

Assets:

Cash $2,920

Accounts Receivable $3,051

Supplies $300

Equipment $4,300

Total assets 10,571

Liabilities + Stockholders' Equity

Accounts Payable $2,200

Unearned Service Revenue $875

Common Stock $6,000

Retained Earnings $1,496

Total liabilities + stockholders' equity 10,571

Explanation:

1.Cash received from a customer on account was debited for $570, and Accounts Receivable was credited for the same amount. The actual collection was for $750.

Dr Cash 180

    Cr Accounts receivable 180

2. The purchase of a computer printer on account for $500 was recorded as a debit to Supplies for $500 and a credit to Accounts Payable for $500.

Dr Equipment 500

    Cr Supplies 500

3. Services were performed on account for a client for $890. Accounts Receivable was debited for $890 and Service Revenue was credited for $89.

Dr Accounts receivable 0

    Cr Service revenue 801

4. A payment of $65 for telephone charges was recorded as a debit to Office Expense for $65 and a debit to Cash for $65.

Dr Office expense 0

    Cr Cash 130

5. When the Unearned Service Revenue account was reviewed, it was found that service revenue amounting to $325 was performed prior to June 30 (related to Unearned Service Revenue).

Dr Unearned service revenue 325

    Cr Service revenue 325

6. A debit posting to Salaries and Wages Expense of $670 was omitted.

Dr Wages expense 670

    Cr Cash 0

7. A payment on account for $206 was credited to Cash for $206 and credited to Accounts Payable for $260.

Dr Accounts payable 466

    Cr Cash 0

8. A dividend of $575 was debited to Salaries and Wages Expense for $575 and credited to Cash for $575.

Dr Retained earnings 575

    Cr Wages expense 575

Service Revenue 2,380 + 801 + 325 = 3,506

Salaries and Wages Expense 3,400 + 670 - 575 = 3,495

Office Expense 940

net loss -929

Cash $2,870 + 180 - 130 = 2,920

Accounts Receivable $3,231 - 180 = 3,051

Supplies 800 - 500 = 300

Equipment 3,800 + 500 = 4,300

Accounts Payable 2,666 - 466  = 2,200

Unearned Service Revenue 1,200 - 325 = 875

Common Stock 6,000

Retained Earnings 3,000 - 575 - 929 = 1,496

4 0
3 years ago
Saturn Systems Inc., which is headquartered in the United States, has its production plant located in a less-developed country w
ivann1987 [24]

Answer:

a. unethical

Explanation:

This company's behavior is unethical. In the globalized world, it is natural for transnational firms to direct their production structure to countries where labor is cheaper, as this makes their product more competitive in the international market. However, these firms must not take advantage of regulatory failures in the labor market in these countries to increase their profit. Every firm must be concerned and ensure that the physical integrity and health of employees who work on its plants is preserved, regardless of location. Thus, in order to act ethically, this firm should implement process improvements to minimize the exposure of employees to chemical agents and to inhibit the exploitation of the labor that occurs when employees work in excess and without being paid for overtime.

3 0
3 years ago
Golden Eye Co., a hi-tech satellite company, has asked you to value the company for possible cross-listing in the U.S. The compa
EastWind [94]

Answer:

Explanation:

Let's first determine the free cash flow of the firm

Particulars                            Years

                          1                         2                   3

EBIT                  540                   680                750

<u>Tax at 36%    (0.36*540)       (0.36*680)        (0.36*750)    </u>

Less:               345.6                  435.2            480

Net Capital -

Spending            150                   170                 190

<u>Change in NWC    70                    75                  80      </u>

Less:                    125.6              190.2                210

The terminal value at the end of T =(3  years) is:

= \dfrac{Free \ cash \ flow}{unlevered \ cost - expected \ growth  \ rate}

= \dfrac{250}{0.1643-0.04}

= \dfrac{250}{0.1243}

= 2011.26

Finally, the value of the firm can be computed as follows:

Years                  Free Cash Flow        PVIF           PV

1                          125.6                        0.6589        107.88

2                         190.2                        0.7377         140.31

3                          210                           0.6336       133.06

<u>Terminal Value  2011.26                    0.6336        1294.33     </u>

<u>Value of the firm   ⇒                                               $1655.58</u>

5 0
3 years ago
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