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3 years ago

The cost of preferred stock is computed the same as the:

Business

1 answer:

Anna71 [15]3 years ago

6 0

Answer:

d. return on a perpetuity

Explanation:

Two types of stock are common and preferred. Preferred stockholders do not have voting rights but they have a higher claim to earnings and assets as compared to the common stockholders. In the case of preferred stock, a fixed annual dividend is obtained forever. So, the cost of preferred stock is computed the same as the return on a perpetuity

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Variable production costs Plastic for casing $ 171,500 Wages of assembly workers 490,000 Drum stands 215,600 Variable selling co

Leviafan [203]

Answer:

Part 1.

Contribution margin income statement for the year.

Sales (4,900 x 340) 1,666,000

<u>Less Variable Costs </u>

Plastic for casing 171,500

Wages of assembly workers 490,000

Drum stands 215,600

Sales commissions 161,700 (1,038,800)

Contribution 627,200

<u>Less Fixed Costs</u>

Taxes on factory 6,000

Factory maintenance 12,000

Factory machinery depreciation 72,000

Lease of equipment for sales staff 12,000

Accounting staff salaries 62,000

Administrative management salaries 142,000 (306,000)

Net Income 321,200

Part 2.

Contribution margin per unit = $627,200 / 4,900 = $128.00

Contribution margin ratio = $627,200/ $1,666,000 = 37.65 %

Explanation:

The Contribution Margin Income Statement calculates separately the contribution and net income as shown above.

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2 years ago

Chandler Kumar owns two antique stores. One is in an upscale neighborhood, and its merchandise is artfully arranged and priced t

Sladkaya [172]

Answer:

Positioning strategies

Explanation:

In business , positioning strategies refers to the efforts that a company can do to influence some sort of perception toward their brands.

In the example above, Markup artfully arranged his products and priced to indicate product rarity in upscale neighborhood.

He did this because for customers with high economic power, presentation of a certain product will create the perception that owning that product indicates high social status. This probably held more value compared to the actual use function of the product itself.

On the other hand, he left his products in open boxes and placed haphazardly on shelves when targeting customers with lower income. He did this because among customers with lower income, presentation tend to matter less compared to the actual function of thier brand.

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3 years ago

If during 2011 the Republic of Sildavia recorded a value added of $78 billion, wages of $40 billion, profits of $8 billion, and

Otrada [13]

Answer:

$12 billion.

Explanation:

Given: Value added during 2011= $78 billion.

Total sales= $90 billion.

Intermediate goods are the goods used to produce final product and it is not included in the calculation of GDP, however, it is included in the value of final goods.

Now, finding the value of intermediate goods purchased.

Intermediate goods= $Total\ sales - Total\ value\ added$

⇒ Intermediate goods= $\$ 90\ billion - \$ 78 \ billion$

∴ Intermediate goods= $\$ 12\ billion$

Hence, value of intermediate goods purchased is $12 billion.

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3 years ago

In the year 1906, Kendreed, a company that sold kitchen utensils, had only one model of each of its products. The company did no

Law Incorporation [45]

Answer: what are the options

Explanation:

1st or 2ed

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3 years ago

Allocating Joint Costs Using the Weighted Average Method Orchard Fresh, Inc., purchases apples from local orchards and sorts the

harkovskaia [24]

Answer:

Explanation:

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3 years ago