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tankabanditka [31]
3 years ago
13

Profit margin is defined as:

Business
1 answer:
olga_2 [115]3 years ago
3 0

Answer: C net income divided by net sales

Explanation:

Net profit margin is calculated by

dividing the net profits(income) by net sales, or by dividing the net income by

revenue realized over a given time period.

Profit margin is one of the commonly used profitability ratios to gauge the degree to which a company or a business activity makes money. It represents what percentage of sales has turned into profits. Simply put, the percentage figure indicates how many cents of profit the business has generated for each dollar of sale. For instance, if a business reports that it achieved a 35% profit margin during the last quarter, it means that it had a net income of $0.35 for each dollar of sales generated.

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A discount bond is also called a ________ because the owner does not receive periodic payments.
a_sh-v [17]

A discount bond is also called a <u>zero coupon bond</u> because the owner does not receive periodic payments.

A discount bond is a bond that is issued for much less than its par—or face—fee. discount bonds can also be a bond currently trading for less than its face cost inside the secondary market. A bond is considered a deep-cut price bond if it's far bought at a substantially decrease price than the par fee, normally at 20% or more.

A zero-coupon bond is a bond that pays no interest and trades at a reduction to its face price. It is also known as a natural cut price bond or deep cut price bond. U.S. Treasury payments are an example of a 0-coupon bond.

Coupons are the promised hobby payments of a bond, paid periodically till the adulthood date of the bond. The coupon rate determines the quantity of every coupon fee of a bond. The coupon rate, expressed as an APR, is about by using the issuer and said on the bond certificate.

Learn more about discount bonds here brainly.com/question/16748047

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1 year ago
Fido wants to buy a new car. He will need to get a car loan. Fido decides to wait for a few months until his credit history impr
Rom4ik [11]

your answer is: Fido's decision is sensible because the cost of the car loan should be less if his credit history improves.


4 0
3 years ago
Read 2 more answers
5. The time required and costs involved in an external audit are much higher as compared to internal audits.​
harina [27]

Answer:

True

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is this a question??

3 0
3 years ago
The amount of accounts receivable that is actually expected to be collected is known as the:a.uncollectible accounts expense. b.
scoundrel [369]

Answer:

Net realizable value.....Option C

3 0
3 years ago
A foreign company (whose sales will not affect cornish's market) offers to buy 3,000 units at $17.00 per unit. in addition to va
Marianna [84]

Trescott company had the following results of operations for the past year:

Sales (20,000 units at $22) $440,000

Direct materials and direct labor $200,000

Overhead (40% variable) 100,000

Selling and Administrative expenses (all fixed) 92,000 (392,000)

Operating income $ 48,000

A foreign company (whose sales will not affect Trescott's market) offers to buy 3,000 units at $17.00 per unit. In addition to the variable manufacturing costs, selling these units would increase fixed overhead by $500 and selling and administrative costs by $1,000. If Trescott accepts the offer, its profits will increase (decrease) by:

Answer : If Cornish accepts this order, its profits will increase by $13,500.

<u>Calculation of Variable Costs per unit :</u>

Direct Material and labor per unit = Total Direct Material and labor / No. of units sold

Direct Material and labor per unit =200000/20000 = $10

Variable Overhead per unit = Total Variable Overhead / No. of units sold

Variable Overhead per unit = (100000*0.4)/20000 = $2

Variable Cost per unit = $12 (Direct Material and labor per unit + Variable Overhead per unit)

Selling price of new order = $17 per unit

No. of units = 3,000

Increase in Fixed Costs = Inc in fixed overhead + inc in S&A Expenses

Increase in Fixed Costs = $1500 (500 + 1000)

Total Cost of new order = (Variable Cost per unit * No. of units) + Increased Fixed Cost

Total Cost of new order = (12*3000) + 1500 = $37,500

Total Revenues from new order = Selling price per unit * No. of units sold

Total Revenues = $51,000 (17 *3,000)

Profit from new order = Total Revenues from new order - Total Cost of new order

Profit from new order = 51000 - 37500 = $13,500

6 0
3 years ago
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