Identify three features of an economic that is In the stage of ‘’economic growth’’

Alyona recently purchased a car. In her first auto loan statement, she was surprised to find a letter for a life insurance compa

Ad libitum [116K]

Answer:

Credit life Insurance

Explanation:

The scenario describes Credit life insurance

This is a form of insurance policy that that is designed to pay off the balance on a policy holder's outstanding loan in case of death. It is designed for the protection of lender and heirs who are co signers from loss in case of the death of the borrower.

The insurance is liable to the balance on the loan as at the time of the death of the borrower.

3 0

3 years ago

Suppose that Walgreens (a major drug store chain) wants to introduce its own brand of cough medicine that is similar in contents

allochka39001 [22]

Answer:

Letter a is correct. Private-label brand.

Explanation:

Private label brand occurs when a company manufactures and supplies a product to another company that only labels it with its brand.

This strategy is used by companies for a number of added benefits, such as increasing revenue streams and increasing the degree to which consumers perceive their brand. In addition to being a cheap strategy for the company, it pays the supplier for the product and not for the value of a brand added to a product. There is also greater control over the possibility of changing price, product and other variables that help gain competitive and economic advantages.

3 0

3 years ago

Flying Cloud Co. has the following operating data for its manufacturing operations: Unit Selling price $250 Unit Variable Cost 1

Ket [755]

Answer:

Option (A) is correct.

Explanation:

Initial break even:

Let x be the no. of units in the initial break even.

Sales = Costs

Unit Selling price × No. of units = Unit Variable Cost × No. of units + Total fixed costs

250 × x = 100 × x + 840,000

150 × x = 840,000

x = 5600 units

10% increase in variable cost(new):

= Unit Variable Cost + 10% of Unit Variable Cost

= 100 + 100 × 0.10

= 110

4% increase in fixed cost(new):

= Total fixed costs + 4% of Total fixed costs

= 840,000 + 840,000 * 0.04

= 873,600

Break Even:

Let y be the no. of units in the break even.

Sales = Costs

Unit Selling price × No. of units = Unit Variable Cost new × No. of units + Total fixed costs new

250 × y = 110 × y + 873,600

140 × y = 873,600

y = 6,240

Change = y - x

Change = 6,240 - 5,600

Change = 640 increase

5 0

3 years ago

The management of Krach Corporation would like to investigate the possibility of basing its predetermined overhead rate on activ

Effectus [21]

Answer:

16,800 dollars.

Explanation:

Overhead rate predetermined at availability. 

= Approximate overhead processing times / Capacity machine hours.

= $33,600 / 24,000.

= $1.4 per hour on machine.

Cost of Resources not used. 

= (Machine hours at capacity - Actual machine hours) x Overhead speed estimated at load.

= ( 24,000 - 12,000) x $1.4.

= 16,800 dollars.

3 0

3 years ago

Read 2 more answers

Bradshaw Inc. is contemplating a capital investment of $88,000. The cash flows over the project’s four years are: Col1 Expected

tresset_1 [31]

Answer:

Net cashflow = Cash inflow - Cash outflow

Year 1 Net cashflow = $30,000 - $12,000 = $18,000

Year 2 Net cashflow = $45,000 - $20,000 = $25,000

Year 3 Net cashflow = $60,000 - $25,000 = $35,000

Year 4 Net cashflow = $50,000 - $20,000 = $20,000

PAYBACK PERIOD

Year Cashflow Cummulative cashflow

0 (88,000) (88,000)

1 18,000 (70,000)

2 25,000 (45,000)

3 35,000 (10,000)

4 20,000 10,000

Payback period = 3 + 10,000/20,000

Payback period = 3.5 years

The correct answer is B

Explanation:

In this question, there is need to determine the annual net cashflow, which is the the difference between annual cash inflow and annual cash outflow. The payback period is calculated by deducting the initial outlay from the annual net cashflow.

7 0

3 years ago