All categories

3 years ago

Why is it important to write a zero-based budget every month?

Business

1 answer:

Tatiana [17]3 years ago

6 0

Answer:

It is important to write a zero-based budget every month because the zero-based budget ensures that every dollar you make is assigned a specific purpose.

Explanation:

You might be interested in

Determine the total product cost for the year.determine the total cost of the ending inventory. determine the total of cost of g

ankoles [38]

The answer is B. It would help if you added more details.

6 0

3 years ago

Orange Inc., an orange juice producer with a current debt-to-equity ratio of 2, is considering expanding its operations to produ

postnew [5]

Answer:

8.25%

Explanation:

Orange, Inc. should calculate the MARR (minimum acceptable rate of return) for this project using the following:

Re = 12% (similar to Paste, Inc., so it can be considered the industry's average)

Rd = 6% x (1 - 25%) = 4.5%

MARR = (1/2 x 12%) + (1/2 x 4.5%) = 6% + 2.25% = 8.25%

This calculation is similar to calculating a company's WACC since you must determine the weighted cost of financing the project.

6 0

3 years ago

Two car manufacturers, Saab and Volvo, have fixed costs of $1 billion and marginal costs of $10,000 per car. If Saab produces 50

igomit [66]

Answer:

Explanation:

First, write down Total fixed cost for each;

Fixed cost; Saab = $1,000,000,000

Fixed cost; Volvo = $1,000,000,000

Next find the Total Variable cost (TVC)

TVC = # of cars per year * marginal cost per car

Saab ; TVC = 50,000* $10,000 = $500,000,000

Volvo ; TVC = 200,000* $10,000 = $2,000,000,000

Average production cost = (Fixed cost + total variable cost) / # of cars per year

Saab = ($1,000,000,000 + $500,000,000)/ 50,000 = $30,000

Volvo = ($1,000,000,000 + $2,000,000,000)/ 200,000 = $15,000

6 0

3 years ago

Sales for the year = $324,882, Net Income for the year = $36,610, Income from equity investments = $8,603, and average Equity du

Andre45 [30]

Answer:

A. 29.6%

Explanation:

Return on Equity is the times of profit a owner can earn on the equity investment in the business. Higher ratio shows the business is more profitable.

As per given data

Net Income = $36,610

Average Equity = $123650

Return on Equity ( ROE ) = Net Income / Equity Investment

Return on Equity ( ROE ) = $36,610 / $123650

Return on Equity ( ROE ) = 0.296

Return on Equity ( ROE ) = 29.6%

4 0

3 years ago

todd plans to purchase a life insurance policy from a stock life insurance company. What kind of policy is he planning to purcha

Tpy6a [65]

Answer:

The correct answer is B. Nonparticipating policy

Explanation:

It refers to the implementation of initiatives where the comments or considerations of the employees are not taken into account. In this type of actions, it is based on the utility for the totality of the persons of a company, and their acceptance by them is understood.

6 0

3 years ago