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Natasha2012 [34]
3 years ago
10

The manufacturing capacity of Susil Company's facitilites is 30,000 untis of product a year. A summary or operating results for

the year ended December 31, 2012 is as follows: Sales (18,000 units @ $100) $1,800,000 Variable manufacturing & selling costs ($55 per unit) 990,000 Contribution Margin $ 810,000 Fixed costs 495,000 Operating Income $ 315,000 A foreign distributor has offered to buy 15,000 units at $90 per unit during 2013. Assume that all of Susil's costs would be at the same levels and rates in 2013 as in 2012. If Susil accepts this offer, it will have to reject some regular business from regular customers so as not to exceed capacity. If they acccept the special order, how much will operating income change?
Business
1 answer:
NISA [10]3 years ago
8 0

Answer:

Operating Income will increase for 225,000

Explanation:

The company will sale 15,000 units at 90

The unit cost is 55

The capacity is 30,000

This order is for 15,000

Leaving 15,000 for regular local business

currently the local sales are 18,000

So it will decrease by 3,000

Putting those numbers together we arrive to the conclusion:

\left[\begin{array}{cccc}&$Units&$Cost&$Total\\$Special Order&15,000&90&1,350,000\\$Variable Cost&15,000&-55&-825,000\\$rejected local&-3,000&100&-300,000\\$Net Income&&&225,000\\\end{array}\right]

Even with the decrease in local business sales, it is better to accept the foreing distributor offer.

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A 4% S/A coupon bond with 4 coupons remaining has a BEY of 8.00%. You buy the bond a little over a month before you get the firs
ElenaW [278]

A 4% S/A coupon bond with 4 coupons remaining has a BEY of 8.00%,  is mathematically given as

DP=95.696. Option D is correct

<h3>What is the dirty price of this bond?</h3>

Generally, dirty price is simply defined as It's important to note that a "dirty price" is simply a bond pricing quotation that takes into account both the coupon rate and any interest that has already accumulated on the bond.

In conclusion, Dirty price

DP = (Clean price +  interest Accrued)

Therefore

DP=0.80*(4%*100/2)+2*(1-(1+4%)^(-3.20))/(4%)+100/(1+4%)^(3.20)

DP=95.696

CQ

A4% S/A coupon bond with 4 coupons remaining has a BEY of 8.00%. You buy the bond a little over a month before you get the first coupon. Specifically, the fraction of the 6-month period that has already elapsed is 0.80.

Calculate the dirty price of this bond.

O 81.370

85.216

93.471

o 95.696

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2 years ago
The Art of Getting the greatest benefits from limited Financial Resources is called
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Answer:

This is an example of how technological forces are applied to industry.

Explanation:

This here is a clear example of how an industry can enjoy benefits of technological up gradation and also goes on to show how we can apply such technological up gradations to a particular industry.

The example given in the question of such an ink which can print circuitry, is a huge game changer in the industry as the cost of radio frequency tag would be driven down , giving the chance to the firms in the industry to book more profit than before.

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The bond "reaches maturity" when it stops making payments and the initial investment is refunded.

The ability of the corporation to repay the bond often serves as its security, and this ability is based on its expectations for future revenues and profitability. Physical assets of the corporation may occasionally be utilized as collateral.

A state, municipality, or county may issue municipal bonds as a debt security to pay for capital projects like building roads, bridges, or schools. They can be compared to loans given to local governments by investors.

Municipal bonds are particularly appealing to those in higher income tax brackets because they are frequently exempt from federal taxes and the majority of state and local taxes (for residents).

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