Corrigan Enterprises is studying the acquisition of two electrical component insertion systems for producing its sole product, t
he universal gismo. Data relevant to the systems follow. Model no. 6754: Variable costs, $19.00 per unit Annual fixed costs, $986,200 Model no. 4399: Variable costs, $11.80 per unit Annual fixed costs, $1,114,500 Corrigan’s selling price is $67 per unit for the universal gismo, which is subject to a 15 percent sales commission. (In the following requirements, ignore income taxes.) 2-a. Calculate the net income of the two systems if sales and production are expected to average 47,000 units per year.
Positive economics is that branch of economics which deals with the qualification, description and explanation of the economic phenomena. It mainly focuses on the fact based and objective that the statement are precise, clearly measurable and descriptive. It determines and analyzes the behavioral relationships of the cause and its effect on the economic theories.
In the context, the mayor of our city asks me conduct and make a plan to increase the parking fees to 2 dollar per hour. This project is a good example of the positive economics that will tell us whether this increase in the parking meter fee is a good idea or not.
The clause in an accident and health policy which defines the benefit amounts the insurer will pay is called the Insuring clause. Insuring clause is a provision in an insurance policy that stipulates the risks assumed by the insurer. The insurer agrees to pay on behalf of the insured all sums that the insured shall become legally obligated to pay as damages because of bodily injury, sickness or disease, wrongful death, or injury to another person's property.
Crane Company is planning to sell 870000 units for $1.50 per unit. The contribution margin ratio is 20%. If Crane will break even at this level of sales, what are the fixed costs?
Answer:D) The limited partners would not need to contribute any amounts to the satisfaction of the debts, but the assets of the corporation would be available for this purpose.
Explanation:A limited partnership is a type of partnership in the business ,in which limited partners only contribute financially and are solely liable to the extent of how much they have contributed or invested anything beyond what they have invested is not their liability.
