Answer:
B. equity financing
Explanation:
Equity financing involves giving up part of the company because it will have to be shared with the partners of the organization who are usually the investors.
Answer:
Break-even point in units= 770
Explanation:
Giving the following information:
Selling price= $500
Unitary variable cost= $260
Fixed costs= $184,800
<u>To calculate the break-even point in units using the mathematical equation, we need to use the following formula:</u>
<u></u>
Net income= unit contribution margin*x - fixed costs
x= number of units
0= (500 - 260)*x - 184,800
184,800/240 = x
770=x
<u>Now, under the unit contribution margin method:</u>
Break-even point in units= fixed costs/ contribution margin per unit
Break-even point in units= 184,800/240
Break-even point in units= 770
Answer:
$7.8
Explanation:
Variable costs = $504,000
Fixed costs = $392,000
Number of units produced = 84,000
Shipping charges = $4,500
Therefore, the variable cost per unit is calculated as follows:
= Variable costs ÷ Number of units produced
= $504,000 ÷ 84,000
= $6 per unit
Incremental fixed cost per unit (For 2,500):
= Shipping cost ÷ 2,500
= $4,500 ÷ 2,500
= $1.8 per unit
Therefore, the unit sales price will be the sum total of variable cost per unit and incremental fixed cost per unit for the shipping charges.
BEP (in sales price per unit):
= Variable cost per unit + incremental fixed cost per unit
= $6 + $1.8
= $7.8
Answer:
Option 2
I. State the facts of the company’s financial situation
II. Explain
A. The reasons why the company needs to take drastic action
B. The benefits of the company’s strategy
III. Inform the employees they will receive a 15 percent pay cut
IV. Close with a forward-looking statement.
Explanation: Based on the above question,the most appropriate option will be option 2.
When presenting a situation to a public or a person it is very important to give a brief about the situation where the audience will be expected to understand, once the audience Understands the prevailing situation,it makes their response and acceptance easy and more likely.
OPTION TWO IS THE MOST APPROPRIATE IN THIS SITUATION AND WILL YIELD THE MOST POSITIVE RESULTS.
Answer and explanation:
Product costs are those that are linked to the manufacturing of a good such as direct materials, direct labor, and overhead. Period costs are not involved directly in the manufacturing process but are important for the business. Examples of period costs are administrative wages, sales commissions, or depreciation. Thus:
A) <em>Sales salaries </em>(Period Costs)
B) <em>Paper used for the magazine </em>(Product Cost)
C) <em>Maintenance on printing machines </em>(Product Cost)
D) <em>Depreciation expense-corporate headquarters </em>(Period Cost)