Answer:
Margin of safety=55.6%
Explanation:
The formula for the operating income is as folows;
operating income=Sales revenue-total cost
where;
operating income=$ 15,000
Sales revenue=S
total cost=variable cost+fixed cost
variable cost=70% of S=(70/100)×S=0.7 S
fixed cost=$12,000
replacing;
15,000=S-(0.7 S+12,000)
15,000+12,000=0.3 S
27,000=0.3 S
S=27,000/0.3
S=Answer:
Explanation:
The formula for the operating income is as follows;
operating income=Sales revenue-total cost
where;
operating income=$ 15,000
Sales revenue=S
total cost=variable cost+fixed cost
variable cost=70% of S=(70/100)×S=0.7 S
fixed cost=$12,000
replacing;
15,000=S-(0.7 S+12,000)
15,000+12,000=0.3 S
27,000=0.3 S
S=27,000/0.3
S=$90,000
Current sales=$90,000
The formula for margin of safety is as follows;
Margin of safety=(Current sales level-break even point sales level)/current sales levels
At break even,
Operating income=0
0=S-(0.7 S+12,000)
0=S-0.7 S-12,000
0.3 S=12,000
S=12,000/0.3
S=40,000
Break even sales=$40,000
replacing;
Margin of safety=((90,000-40,000)/90,000}×100
Margin of safety=55.6%
Answer: International entrepreneurship
Explanation:
International business is becoming vital to more entrepreneurs and to the economy of their country. International entrepreneurship is when an entrepreneur conducts business activities across national boundaries.
International entrepreneurship leads to growth in the business and generate more revenue to the firm as nee opportunities open up. Lisa expanding her business abroad through foreign direct investment signifies international entrepreneurship.
Answer: I don’t know the year you were born
Answer:
Manufacturing overhead= $57,600
Explanation:
<u>To calculate the Conversion costs, we need to use the following formula:</u>
Conversion costs= direct labor + manufacturing overhead
<u>Now, if direct labor is 60% of conversion costs, then:</u>
Conversion costs= direct labor / (1 - 0.4)
Conversion costs= 86,400 / 0.6
Conversion costs= $144,000
<u>Finally, we determine the manufacturing overhead:</u>
Manufacturing overhead= 144,000 - 86,400
Manufacturing overhead= $57,600
Answer:
Economic Freedom--the right to make your own economic decisions. ...
Economic Efficiency--using resources wisely because they are scarce. ...
Economic Equity--justice and fairness for all. ( ...
Economic Security--protection from bad economic situations such as. ...
Full Employment--to provide as many jobs as possible so that.
Explanation:
