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2 years ago

Most goods can be classified as normal goods rather than inferior goods. The definition of a normal good means that:

Business

1 answer:

ra1l [238]2 years ago

6 0

Answer:

A normal good is a good whose demand increases when income increases

Explanation:

Normal goods are goods that are goods whose demand increases when income increases and falls when income falls

Inferior goods are goods whose demand falls when income rises and increases when income falls.

For example, if when your income was $100,000 per annum, you had one car but when it increased to $500,000, you bought two more cars. Car is a normal good

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During 2010, raines umbrella corp. had sales of $850,000. cost of goods sold, administrative and selling expenses, and depreciat

I am Lyosha [343]

To calculate:
1) Net income (loss) for 2010.
2) Operating cash flow
Solution: 1)
Sales = $850000
Less: Cost of goods sold = $610000
  Gross profit = $240000
Less: Administrative and selling expenses = $110000
Earning before Interest, Tax and Depreciation = $130000
Less: Depreciation = $140000
  Earning before Interest and Tax (EBIT) = ($10000)
Less: Interest expense = $85000
  Earning before tax (EBT) = ($95000)
Less: Tax = $0 (as company is having negative EBT or loss hence no tax)

Net loss = $95000
2) Operating cash flow
EBIT + Depreciation - Tax
Wherein, EBIT = Earning before Interest and Tax
  ($10000) + 140000 - 0 = $130000

4 0

3 years ago

Refer to scenario 3.2. Acme wants to hire a trusted third-party verification site that specializes in internet security to view

Vlad [161]

Answer: Technology Assessment

Explanation: Technology is defined as "science or knowledge applied to a definite purpose." Technology assessment refers to a policy research that applies to long and short term consequences if the technology is implemented.

Acme is looking to hire a technology with a specific purpose of security of its client. So here, Acme is looking for technology assessment.

6 0

3 years ago

Jobs Inc. has recently started the manufacturer of Tri-Robo, a three-wheeled robot that can scan a home for fires and gas leaks

trapecia [35]

Answer:

Jobs Inc.

1. The offer should not be accepted.

2. The offer should be accepted.

Explanation:

a) Data and Calculations:

Units of Tri-Robos to be manufactured = 21,300

Costs of manufacturing:

Direct materials $1,086,300

Direct labor ($39 per robot) 830,700

Variable overhead ($5 per robot) 106,500

Allocated fixed overhead ($28 per robot) 600,000

Total $2,623,500

Unit cost = $123.17 ($2,623,500/21,300)

Price from Tiench Inc per unit = $113

Total offer price = $2,406,900 ($113 * 21,300)

Make Buy Net Income Increase (Decrease)

Direct materials $1,086,300 $ $

Direct labor 830,700

Variable overhead 106,500

Fixed overhead 195,000

Purchased price 2,406,900

Totals $2,218,500 $2,406,900 $188,400 Decrease

Make Buy

Direct materials $1,086,300

Direct labor ($39 per robot) 830,700

Variable overhead ($5 per robot) 106,500

Allocated fixed overhead ($28 per robot) 600,000

Total $2,623,500 $2,406,900

Opportunity cost 375,000

Total $2,998,500 $2,406,900 $591,600

8 0

2 years ago

Income elasticity of demand is

coldgirl [10]

Answer: Option (a) is correct.

Explanation:

Income elasticity of demand measures the responsiveness of quantity demanded with change in the income level of an individual.

$Income\ elasticity\ of\ demand=\frac{percentage\ in\ quantity\ demanded}{percentage\ change\ in\ income}$

Income of an individual has a positive relationship with the demand for normal goods and has a negative relationship with the demand for inferior goods.

3 0

2 years ago

Read 2 more answers

Determine the missing amounts.Unit SellingPriceUnit VariableCostsUnit ContributionMarginContribution MarginRatio1. $650 $390 $en

tatiyna

Answer:

I tried to order the information and prepared the following table:

Product A Product B Product C

Unit Selling Price = $650 $200 e)$2,300

Unit Variable Costs = $390 c)$108 f)$1,495

Unit Contribution Margin = a)$260 $92 $805

Contribution Margin Ratio = b)40% d)46% 35%

contribution margin ratio = (revenue - cogs) / revenue or

contribution margin ratio = contribution margin / revenue

8 0

2 years ago