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3 years ago

In a CVP income statement, cost of goods sold is generally:

Business

1 answer:

Nadya [2.5K]3 years ago

3 0

Answer:

d) partly a variable cost and partly a fixed cost.

Explanation:

CVP income statement is also known as cost volume profit income statement, it is generally a product of CVP analysis and it include five elements:

Price of products.
Volume of activity.
Variable cost per unit.
Total fixed cost.
Mix of product sold.

CVP analysis are conducted to know how changes in cost and volume would impact company´s operating income and net income. It require all the cost of company should be segregated into variable and fixed cost. It also calculate contribution margin, which help to identify the profit of company before deducting fixed cost.

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Starbucks CEO Howard Schultz has made sure his employees have health insurance and work in a positive environment. He could best

Leya [2.2K]

Answer: Servant leader

Explanation: Servant leader is that leader whose main goal is to serve his followers and subordinates. All the actions that a servant leader takes is to make sure that the needs of his followers are taken care of.

This theory is sometimes used in management also we the perception that employees are the most important asset and if they are provided with proper facility their productivity will be at full, leading to development of organization.

In the given case, Starbucks CEO is taking utmost care of his employees. Hence, it is clearly a Servant leader example.

3 0

3 years ago

Turnbull Co. is considering a project that requires an initial investment of $1,708,000. The firm will raise the $1,708,000 in c

Sedaia [141]

Answer:

11.25%

Explanation:

Tunbull Co. are planning to start a project that requires an initial investment of $1,708,000

The firm is able to raise $1,708,000 in capital by issuing an amount of $750,000 in debt

Before-tax cost is 10.2%

Preferred stock is $78,000 at 11.4%

The equity is $880,000 at a cost of 14.3%

Tax rate is 40%

The first step is to calculate the weight of preferred stock, weight of debt, weight of equity and after-tax cost of debt.

(a)Weight of preferred stock

= $78,000/$1,708,000

= 0.0457

(b)Weight of debt

= $750,000/$1,708,000

= 0.04391

= $880,000/$1,708,000

= 0.5152

(d) After-tax cost of debt

= 10.2% × (1-25/100)

= 10.2% × ( 1-0.25)

= 10.2%×0.75

= 7.64

Therefore, the wacc can be calculated as follows

Wacc= (weight of debt×after-tax cost)+(weight of preferred stock×cost of preferred stock)+(Weight of equity×cost of equity)

= (0.4391×0.0765)+(0.0457×0.1140)+(0.5152×0.1430)

= 0.03359+0.0052+0.07367

= 0.1125×100

= 11.25%

Hence the wacc for this project is 11.25%

6 0

3 years ago

Hat's accounting records showed the following:

levacccp [35]

Answer:

D. $55,000

Explanation:

Sales = 250,000

Gross Profit = 250,000 x 40% = 100,000

Cost of goods sold = 250,000 - 100,000 = 150,000

Cost of good sold = Opening Inventory + Purchases - Closing Inventory

150,000 = 35,000 + 200,000 - Closing Inventory

150,000 = 235,000 - Closing Inventory

Closing Inventory = 235,000 - 150,000

Closing Inventory = 85,000

Inventory damaged by flood = 85,000 - 30,000 = 55,000

6 0

3 years ago

A firm knows that Seneca's income elasticity of demand for hair ties is 5; for Janelle, it is 0.2. A firm can reason thatla hair

Lilit [14]

Answer: E. luxury; necessity

Explanation:

Income elasticity of demand is a measure of how the demand for a good or service change when people's income changes. It the ratio of the percentage change in quantity demanded to the percentage change in income.

3 0

3 years ago

Suppose that Katniss and Peeta have been exiled on a deserted island. To feed themselves, they need to catch fish and hunt rabbi

Lunna [17]

Answer:

<u>For trade to be mutually beneficial, the price of a rabbit should be more than _0.75__fish but less than_2_fishes</u>

Explanation:

1. Let's review the information provided to us to answer the question correctly:

Katniss can catch 40 fish if she spends all her time fishing

Katniss can catch 20 rabbits if she spends all her time hunting

Peeta can catch 8 fish if she spends all her time fishing

Peeta can catch 12 rabbits if she spends all her time hunting

2. Suppose Katniss and Peeta specialize and trade. For trade to be mutually beneficial, the price of a rabbit should be more than ___fish but less than___fish

For answering this question, we need to calculate the cost of opportunity of Katniss and Peeta after they start to specialize and trade. According to the information given, Katniss is more efficient fishing and Peeta is more efficient hunting rabbits.

The cost of opportunity of Katniss hunting one rabbit is two fishes. In the same amount of time she can fish twice as many rabbits she can hunt (40/20).

The cost of opportunity of Peeta hunting one rabbit is 0.75 fishes. In the same amount of time he can fish 0.75 as many rabbits he can hunt (8/12).

<u>Upon saying that, for trade to be mutually beneficial, the price of a rabbit should be more than _0.75__fish but less than_2_fishes.</u>

3 0

3 years ago