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3 years ago

Which of the following statements is correct?

Business

1 answer:

Mekhanik [1.2K]3 years ago

3 0

Answer:

The correct statement is:

b. Two metrics that are used to measure a company's financial performance are net income and free cash flow. Accountants tend to emphasize net income as calculated in accordance with generally accepted accounting principles. Finance people generally put at least as much weight on free cash flows as they do on net income.

Explanation:

Net income and free cash flow are profitability measures. While net income measures profitability by including all expenses: cash and non-cash, free cash flow measures profitability by excluding the non-cash expenses but instead includes spending on assets and working capital periodic changes.

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Standlar Company makes wireless speakers. The standard model price is $360 and variable expenses are $210. The deluxe model pric

bija089 [108]

Answer:

The overall Sales revenue at break even is $515995.872

Explanation:

The overall break even in dollars or the composite break even point is the Total revenue that a business must earn from all its products that should be equal to the total costs from all its products and there is no profit or no loss.

The formula for composite or overall break even in dollars is,

Break even in dollars = Fixed costs / Weighted average contribution margin ratio

Where the weighted average contribution margin ratio is the weghtage of each product in the overall sales mix multiplied by the contribution margin of each product.

The total sales mix is = 8 + 4 + 1 = 13

Weighted average contribution margin ratio = ((360 - 210) / 360) * 8/13 +

((500 - 300) / 500) * 4/13 + ((1600 - 600) / 1600) * 1/13 = 0.5814 or 58.14%

Break even in dollars = 300000 / 0.5814

Break even in dollars = $515995.872

If there is some discrepancy in the final answer, it will be due to the rounding off of the weighted average contribution margin ratio

3 0

3 years ago

3. Columbia Corporation deposited $2,000 in an account that pays 12% interest annually. If the interest is compounded continuous

dangina [55]

Answer:

should be the letter B. $22,046

8 0

3 years ago

Although she hates the work, Jessica has spent most weekends and the last three summers as a short-order cook; she has an associ

Ostrovityanka [42]

I think it would be a restaraunt

4 0

3 years ago

Read 2 more answers

If expectations of the future inflation rate are formed solely on the basis of a weighted average of past inflation rates, then

vaieri [72.5K]

Option C

If expectations of the future inflation rate are formed solely on the basis of a weighted average of past inflation rates, then economics would say that expectation formation is: adaptive.

<u>Explanation:</u>

Adaptive expectations hypothesis implies that investors will modify their expectations of future behavior based on current prior behavior. In finance, this impact can effect people to produce investment decisions based on the way of contemporary historical data, such as stock price activity or inflation rates, and modify the data to prophesy future exercise or rates.

If the market has been trending downward, people will possible expect it to proceed to trend that way because that is what it has been acting in the recent past.

7 0

3 years ago

In the Keynesian model, a $1 billion increase in autonomous consumption leads to ______ in equilibrium output.

egoroff_w [7]

Answer: A greater than $1 billion increase

Explanation: According to the Keynesian Model which says that government should increase demand to boost growth.

Keynesian believes that Government spending on infrastructure, unemployment benefits, and education will increase consumer demand. They also believe that consumer demand is the primary driving force in an economy.

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3 years ago