What are payroll taxes?

Christopher Corp., a multinational technology firm, is working on an expansion plan to increase its market share. To understand

Svetllana [295]

Answer: External opportunity

Explanation: External opportunities refers to the opportunities that arise from the political , legal and economical factors of the environment in which the organisation operates in. These are called external opportunities as organisation have no control over them.

In the given case, due to some policy changes of the Govt., Christopher corp. gets benefit of potential profits and increased market share in the future.

Thus, we can conclude that it is an external opportunity.

4 0

4 years ago

One of the objectives of facility location analysis is to select a site with the lowest total cost.

LUCKY_DIMON [66]

Answer:

The correct answer is E

Explanation:

Product life cycle costs is the cost which is linked or associated with the product for the whole life cycle of the product. It traces the revenues or costs of each and every product over the calendar years or periods throughout the whole life cycle.

So, this cost will be included in the analysis as the hidden costs.

6 0

3 years ago

On March 4 of 1999, XYZ Corporation takes out a $1 million loan. The company pays the interest semiannually. The six-month inter

Alex73 [517]

Answer: $85,500

Explanation:

From the question, we are told XYZ Corporation takes out a $1 million loan and the interest on the loan is paid semiannually.

We are also told that the six-month interest rate is six-month LIBOR 80 basis points, with a cap at 9.25%. Assume that LIBOR is at 8.5% on March 4, 1999, and 7.75% on September 4, 1999.

The second interest payments on the loan will be:

The interest rate will be:

Interest rate = LIBOR + 80bps

= 7.75 + 0.8

= 8.55%

Interest paid in the second period

= $1,000,000 × 8.55%

= $1,000,000 × 0.0855

= $85,500

Note that there is no need for using the cap since the interest didn't exceed 9.25%

5 0

3 years ago

A security will make payments of $25 per month for the next 5 years, plus $1000 at maturity. Which of the following is true? Gro

IRISSAK [1]

Answer: If the price increases from $1,500 to $1,600 then the yield to maturity will decrease.

Explanation:

If Yields in the market fell, Bonds would still be making the same coupon payments they always have been regardless of this fall. This will lead investors to buy more bonds which will have the effect of raising bond prices.

This therefore shows that Bond prices and Yields are inversely related. If one rises, the other falls. If the price of the security (bond) increases from $1,500 to $1,600 then it follows that the yield to maturity will decrease.

7 0

3 years ago

Fixed expenses are $625,000 per month. The company is currently selling 9,000 units per month. The marketing manager would like

Lubov Fominskaja [6]

Answer:

Decrease of $40,800 after introducing new marketing policy

Explanation:

As per the data given in the question,

Profit = Sales - Total cost

= 9,000 × $100 - ( 9,000 × $20 + $625,000)

= $95,000

To calculate new profit:

New unit = 9,000 + 800 = 9,800 units

Selling price = $100 - $6 = $94 per unit

Fixed cost = $625,000 + $46,000

= $671,000

Now Profit = $94 × 9,800 - ($20 × 9,800 + $671,000)

= $54,200

Since, introducing the new marketing policy profit will be decreased = $95,000 - $54,200

= $40,800

Hence, There will be decrease of $40,800

3 0

3 years ago