A customer bought a $1,000 par convertible subordinated debenture at par, convertible into common at $31.25 per share. If the bo
1 answer:
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Answer:
b. $2 billion trade surplus with country B.
Explanation:
When a country exports more than it imports, it is said that the country has a trade surplus. On the other hand, when a country imports more than it exports, it is said that the country has a trade deficit.
In this case, exports to country B are worth $10 billion which are larger than the $8 billion of imports from country B. Country A's trade surplus is given by:
Therefore, the answer is alternative b.
Answer:
Compute the increase or decrease that closing Store 3 should cause in: a. Total monthly sales for Drexel-Hall stores.
- total monthly sales should decrease from $1,800,000 to $1,380,000 = a $420,000 reduction
b. The monthly responsibility margin of Stores 1 and 2.
- store 1 responsibility margin increased from 10% to 12.55% (2.55% increase)
- store 2 responsibility margin increased from 9% to 13.69% (4.69% increase)
c. The company’s monthly income from operations.
- increased from $72,000 to $140,200 ($70,200 increase)
Explanation:
Store Store Total
1 2
Sales $660,000 $720,000 $1,380,000
Variable costs $409,200 $453,600 $862,800
Contribution margin $250,800 $266,400 $517,200
Controllable fixed costs $120,000 $102,000 $222,000
Performance margin $130,800 $164,600 $292,200
Committed fixed costs $48,000 $66,000 $114,000
Store responsibility margin $82,800 $98,600 $178,200
Common fixed costs $38,000
Income from operations $140,200
