Answer:
<u>Relationship selling</u>
Explanation:
Relationship selling is focussed more upon successfully building a long term relationship between a seller and a buyer rather than being merely focussed upon effecting a sales through .
The technique emphasizes upon the quality of interaction between the seller and the buyer which shall serve as a basis for develoment of a future relationship between the company and the customer.
This technique is prominent in case of those companies that rely on repetitive purchases on part of the buyer like private instructors. Good relationships may lead to customer loyalty which prompt repetitive purchases at their end.
In the given case, the supplier company's sales person rearranged production schedule so as to accomodate unexpected demand from a major client. Such an action demonstrates company's sales policy with emphasis upon relationship selling.
Solution:
a-1) Calculation of the number of shares used for calculating Basic Earning per share
No. of shares period
752000 3/12 188000
1314000 9/12 985500
Weighted average No of shares outstanding 1173500
a-2) Calculation of the number of shares used for calculating Diluted Earning per share
No. of shares period
752000 3/12 188000 1314000 3/12 328500 with Bonds 1340400 6/12 670200
Weighted average No of shares outstanding 1186700
Each bonds to per converted into 44 common stock
i.e. 600 Bonds *44 common=26400 Potential equity shares
b-1) Calculation of earning figures to be used for calculating Basic Earning per share
After Tax net Income will be earnings = $1614000
b-2) Calculation of earning figures to be used for calculating Diluted Earning per share
After tax net Income 1614000
Interest for the 2017 =600000*7*6/12 21000
Tax effect on Interest @40% 8400 12600 1626600
Earnings = 1626600
Answer:
Direct Labor Equivalent unit cost : $5,415463
Explanation:
![\left[\begin{array}{ccccc}\\ &$Units to be assigned costs:&&Equivalent Units&\\&&$Whole Units&Materials&Conversion\\&$Beginning&35000&35000&17500\\&$Started and completed&71000&71000&71000\\&$transferred&106000&106000&106000\\&$ending&39000&39000&11700\\&$Total units to be assigned costs&145000&145000&117700\\\end{array}\right]](https://tex.z-dn.net/?f=%5Cleft%5B%5Cbegin%7Barray%7D%7Bccccc%7D%5C%5C%09%26%24Units%20to%20be%20assigned%20costs%3A%26%26Equivalent%20Units%26%5C%5C%26%26%24Whole%20Units%26Materials%26Conversion%5C%5C%26%24Beginning%2635000%2635000%2617500%5C%5C%26%24Started%20and%20completed%2671000%2671000%2671000%5C%5C%26%24transferred%26106000%26106000%26106000%5C%5C%26%24ending%2639000%2639000%2611700%5C%5C%26%24Total%20units%20to%20be%20assigned%20costs%26145000%26145000%26117700%5C%5C%5Cend%7Barray%7D%5Cright%5D)
<u><em>Transferred units:</em></u>
beginning + started - ending = transferred
35,000 + 71,000 - 39,000 = 71,000
Labor cost: 581,000 + 56,400 = 637,400
equivalent units for conversion: 117,700
(trasnferrred + percentage of completion ending WIP)
<em><u>Equivalent unit cost:</u></em>
637,400 / 117,700 = 5,415463
<span>Contractionary fiscal policy that reduces the budget deficit may INCREASE Business investment by REDUCING interest rates
when interest rates is low, people will feel ENCOURAGED to borrow some money from the bank and invest in the business because they will have lower amount to return.</span>
Answer:
sales is $2,500,000
Explanation:
The target sales for the company to achieve a net income of $450,000 in the current year equals the net income plus variable cost plus the fixed costs.
To understand this better,let us use the net income formula:
net income=sales-variable costs-fixed costs
by changing the subject of the formula,we the formula for sales:
sales=net income+variable costs+fixed costs
variable costs=sales*70%=0.7 sales
sales=$450,000+$300,000+0.7 sales
sales-0.7 sales=$750,000
0.3 sales=$750,000
sales=$750,000/0.3=$2,500,000
