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4 years ago

Why do corporations generally have the largest profits of any form of business?

2 answers:

8 0

A business owned by shareholders, also called stockholders, who own the rights to the company's profits but face only limited liability for the company's debts and losses.

fredd [130]4 years ago

3 0

Answer:

This is mainly because their business models can reach many markets and can supply a large quantity of goods and services to the market.

This is possible because a corporation has the required legal protection and economic capacity to function in a large scale. And it's activities are closely monitored I to reduce your he regulatory authorities such as the taxes department and SEC. Also, as the accounting standards and rules related to the transparency of the financial status of the companies, investors tends to invest more in these than in sole.proprietorships and partnerships, greatly increasing the ability to raise funds.

Explanation:

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PB2.

olga55 [171]

Answer:

The contribution margin per unit for the 18-inch blade.

Break even in units = Fixed cost/Contribution per unit

= 85,000/11 (15-4)

= 7,728 unit (round off)

The contribution margin ratio of the 18-inch blade.

Total contribution margin (CM) is calculated by subtracting total variable costs TVC from total sales TSP. Contribution margin per unit equals sales price per unit SP minus variable costs per unit VC . It is used in calculating a break even point of a business. Contribution margin ratio tells us how much contribution towards fixed cost is generate by selling a unit.

CM ratio = $ 11/ $ 15 *100= 73.33%

(Variable cost = 15 -4 = 11 )

Contribution margin income statement for the month of January.

Sales $ 180,000

Variable cost ($ 48,000)

Gross profit $ 132,000

Fixed Cost ($ 85,000)

Net Profit $ 47,000

5 0

3 years ago

Which of the following statements is CORRECT?

siniylev [52]

Answer:

a. Suppose a firm's total assets turnover ratio falls from 1.0 to 0.9, but at the same time its profit margin rises from 9% to 10% and its debt decreases from 60% of total assets to 40%. Under these conditions, the ROE will increase.

Explanation:

Asset turnover ratio of a firm is sales divided by total assets. If this ratio falls the revenue of the firm has declined, but since the profit margin has increased means company has made efforts to cut down its expenses and cost. If the debt has decreased then its equity portion will increase resulting in ROE to increase.

7 0

3 years ago

Megan is 5 years older than Sandy. If four years ago Megan was three years less than three times Sandys age, how old is Sandy no

ExtremeBDS [4]

Sandy is currently 8 years old.

Start by using x for Sandy's current age and x + 5 for Megan's current age.

Since we know the above, we can find their age's as of 4 years ago as both of those minus 4. So Sandy 4 years ago was x - 4 years old and Megan was x + 1 years old.

Now we can set up an equation that shows that Megan's age 4 years ago was equal to Sandy's age 4 years ago times 3 minus 3.

x + 1 = 3(x - 4) - 3
x + 1 = 3x - 12 - 3
x + 1 = 3x - 15
x + 16 = 3x
16 = 2x
8 = x

Which is Sandy's current age.

5 0

3 years ago

Read 2 more answers

Dextra Computing sells merchandise for $6,000 cash on September 30 (cost of merchandise is $3,900). Dextra collects 5% sales tax

Eduardwww [97]

Answer:

Sept - 30

DR Cash $6,300

CR Sales $6,000

CR Sales Tax $300

(To record Cash sales and Tax Payable)

Working

Sales Tax = 6,000 * 5%

= $300

Oct - 15

DR Sales Tax Payable $300

CR Cash $300

(To record remittance of Sales Tax to the State Government)

Sept - 30

DR Cost of Goods Sold $3,900

CR Merchandise Inventory $3,900

(To transfer inventory to Cost of Goods sold)

4. Repeat question for question 2.

5. Repeat question for question 1.

8 0

3 years ago

Checkers uses the periodic inventory system. For the current month, the beginning inventory consisted of 7,200 units that cost $

klio [65]

Answer:

C. $125,550

Explanation:

Given that

At beginning = 7200unit at $12 each

During = 3000unit at $13

= 12000 unit at $13.50

Sold = 12900 unit.

Therefore, USING FIFO

Unit sold

= (7200 × 12) + (3000 × 13) + (2700 × 13.50)

= 86400 + 39000 + 36450

= $161850.

Thus, inventory remaining

= (12000 - 2700) × 13.50

= 9300 × 13.50

= $ 125,550

Ending inventory = $125,550

7 0

4 years ago

Why do corporations generally have the largest profits of any form of business?​

Why do corporations generally have the largest profits of any form of business?