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Svetllana [295]
3 years ago
13

If the margin of safety is 0, then a.the margin of safety cannot be less than or equal to 0; it must be positive. b.the company

is operating at a loss. c.the company is earning a small profit. d.the company is precisely breaking even. e.the company's total variable costs are equal to its total fixed costs.
Business
1 answer:
sdas [7]3 years ago
3 0

Answer:

d.the company is precisely breaking even.

Explanation:

Margin of safety is referred to current sales - Break even sales ratio to current sales as a percentage.

Basically it is quoted as follows:

\frac{Current\ sales\ -\ Break-even\ Sales}{Current\ Sales} \times 100

Therefore, when the current sales = Break even sales then only the company will have margin of safety = 0

Thus, at 0 margin of safety the company basically is at no profit no loss situation, that is break even.

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Which investment has the least liquidity? mutual fund house checking account corporation Mark this and return Save and Exit Next
Elina [12.6K]

<u>The answer is "corporation".</u>


Liquidity alludes to how effectively resources can be changed over into money. Resources like stocks and bonds are exceptionally fluid since they can be changed over to money inside days. However, vast resources, for example, property, plant, and gear are not as effectively changed over to money. For instance, your financial records is fluid, however on the off chance that you claimed land and expected to offer it, it might take weeks or months to sell it, making it less fluid.  

Corporate finance is the zone of fund managing the wellsprings of subsidizing and the capital structure of enterprises, the moves that directors make to build the estimation of the firm to the investors, and the instruments and investigation used to designate money related assets.

8 0
3 years ago
Read 2 more answers
An adjusting entry was made on year-end December 31 to accrue salary expense of $3,000. Assuming the company does not prepare re
wel

Answer:

Dr Salaries Payable $3000

Dr Salaries Expense $3600

Cr Cash $6600

Explanation:

Preparation of the entries to record the $6600 payment of salaries in January of the following year.

Based on the information given Appropriate journal entries to record the $6600 payment of salaries in January of the following year will be:

Dr Salaries Payable $3000

Dr Salaries Expense $3600

($6600-$3000)

Cr Cash $6600

(To record payment of salaries)

5 0
3 years ago
A parking lot charges $2 per hour for the first 4 hours, then $3 per hour after that. Which equation(s) describes the total cost
Ivenika [448]

Answer:

there are no options but i would say it’s probably close to y= 8 + 3x

5 0
3 years ago
Suppose you are going to receive $12,000 per year for five years. The appropriate interest rate is 9 percent. a-1. What is the p
shusha [124]

Answer:

What is the present value of the payments if they are in the form of an ordinary annuity?

Discount all cash flows

12,000/1.09=11,009

12,000/1.09^2=10,100

12,000/1.09^3=9,266

12,000/1.09^4=8,501

12,000/1.09^5=7,799

Add all these discounted cash flows= $46,675 is the present value of ordinary annuity

a-2. What is the present value of the payments if the payments are an annuity due?

In an annuity due payment is made at the beginning of the year so we subtract one from each compounding period so,

12,000/1.09^0=12,000

12,000/1.09=11,009

12,000/1.09^2=10,100

12,000/1.09^3=9,266

12,000/1.09^4=8,501

add all these discounted cash flows = $50,876= PV of annuity due

FV of ordinary annuity

PV= 0

PMT=12,000

I= 9

N= 5

FV=? Put these in financial calculator= $71,816

Fv of annuity due=

12,000+

PV=0

PMT=12,000

I=9

N=4

FV=?=66,877

Pv  of annuity due is higher and FV or ordinary annuity is higher.

Explanation:

3 0
3 years ago
WILL GIVE BRAINLIEST
Alexxx [7]
Sociological i believe
7 0
3 years ago
Read 2 more answers
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