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kaheart [24]
3 years ago
6

The breakeven point decreases if? ________.

Business
1 answer:
MAXImum [283]3 years ago
3 0
Beak-even point (BEP) in business is the point at which total cost and total revenue are equal. There is no net gain or loss, and one has "broken even", though opportunity costs have been paid and capital has received the risk-adjusted, expected return.
The formula for break-even is given by:
BEP=(Fixed Costs)/(Sales Price per Unit-Variable Cost per Unit)

From the above formula we can conclude that:
When Fixed costs reduces, the BEP decreases. Therefore the answer is [a]
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Price elasticity of demand is defined by Change in Quantity demanded / Change in Price. 

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Jerry orders $10 worth of gas. This means that no matter how much it gives him, Jerry will pay $10. The price elasticity of demand depends on how much the price changes by.
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3 years ago
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3 years ago
Read 2 more answers
: Based on the corporate valuation model, Wang Inc.'s total corporate value is $750 million. Its balance sheet shows $100 millio
Leni [432]

Answer:

450 million is the firm’s value of equity

Explanation:

In this question, we are asked to calculate the best estimate for the firm’s value of equity in millions.

To calculate this, we proceed as follows;

Mathematically;

Firm’s value of equity= [(Total corporate Value - (Notes payable + Long term debt)]

From the question, we identify the total corporate value as 750 million, the notes payable as 100 million and a long term debt of 200 million

Now, plugging these into the equation above, we have ;

Firm’s value of equity = 750 million - (100 million + 200 million) = 750 million - 300 million = 450 million

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3 years ago
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If you have good credit you will be able to qualify for cards with low APRs and if you have bad credit you will be charged higher rates

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3 years ago
On August 5, 2021, Ivanhoe Furniture shipped 50 dining sets on consignment to Furniture Outlet, Inc. The cost of each dining set
Kay [80]

Answer:

Total profit for units sold for consignor is 15240 $

Explanation:

Revenue generated from the sale is equal to 40 * 750 $ = 30000$. Since this is consignment sale, revenue belongs to consignor minus the commission and expenses of the consignee. Therefore: 30000-1500-500-680 = 27320$. As the cost of each set was 250 and 40 sets were sold, total amount is 10000 and the cost of shipping 40 sets was 2080, total profit is therefore 15240$. The cost of shipping 40 sets we can get if we divide total cost with the number of sets shipped. Then we get cost per unit and since 40 sets was sold the shipping cost of that sale was 2080$.

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