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4 years ago

A company earned $7,605 in net income for October. Its net sales for October were $19,500. Its profit margin is:

Business

1 answer:

vivado [14]4 years ago

3 0

Answer: 39%

Explanation:

From the question, we are informed that company earned $7,605 in net income for October and that its net sales for October were $19,500.

To calculate its profit margin, we have to divide the net income by the net sales. This will be:

= 7605/19500

= 0.39

= 39%

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The economy is initially in short-run equilibrium when incomes taxes decline and productivity rises. If the change in aggregate

Vikki [24]

Answer:

If the aggregate supply—also referred to as the short-run aggregate supply or SRAS—curve shifts to the right, then a greater quantity of real GDP is produced at every price level. If the aggregate supply curve shifts to the left, then a lower quantity of real GDP is produced at every price level.

Explanation:

A shift in aggregate supply can be attributed to many variables, including changes in the size and quality of labor, technological innovations, an increase in wages, an increase in production costs, changes in producer taxes, and subsidies and changes in inflation.

In summary, aggregate supply in the short run (SRAS) is best defined as the total production of goods and services available in an economy at different price levels while some resources to produce are fixed... As prices increase, quantity supplied increases along the curve.

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3 years ago

Read 2 more answers

A firm has a debt-to-equity ratio of 0.50 and debt equal to $35 million. The firm acquires new equipment with a 3-year operating

ipn [44]

Answer:

($35 million + $12 million) / $70 million = 0.6714

Explanation:

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3 years ago

During the current year, Ecru Corporation is liquidated and distributes its only asset, land, to Kena, the sole shareholder. On

statuscvo [17]

Answer:

c. Kena recognizes a gain of $30,000

Explanation:

cash 650,000 debit

land 250,000 credit

gain at disposal 350,000 credit

liabilities 500,000 debit

cash 500,000 credit

Then, the company will close all account and leave kena account with a capital of 150,000 to mathc the remaining 150,000 cash

as her basis is 120,000 there will be a gain for 30,000

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3 years ago

Fried donuts has sales of $764,900, total assets of $687,300, total equity of $401,300, net income of $68,200, and dividends pai

Tomtit [17]

Internal growth rate = Net income / Total Assets
Net income = $68,200
Total assets = $687,300
Internal growth rate
= $68,200 / $687,300
= 0.099228 x 100%
= 9.92 %
Fried Donuts has an internal growth rate of 9.92%.

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3 years ago

During the 1990s, one of the dominant firms in the U.S. cigarette industry would raise prices once or twice a year by about 50 c

ahrayia [7]

Answer: price leadership

Explanation: Price leadership is a circumstance where one business, typically the dominant one in its market, sets prices that its rivals follow closely.

This business is typically the one with the minimum cost of production, thus being able to outperform the prices charged by any rival who tries to set their prices below the price range of the market leader.

Rivals could increase prices than the cost leader, but this would likely lead to lower share of the market unless rivals were able to distinguish their goods adequately.

Hence from the above we can conclude that the given case depicts price leadership strategy.

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3 years ago