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vodomira [7]
3 years ago
5

Target costing: Determines cost based on an expected market demand for the product. Determines cost based on standard cost. Dete

rmines cost based on a budget. Determines cost based upon market price and desired profit.
Business
1 answer:
lozanna [386]3 years ago
3 0

Answer:

Determines cost based upon market price and desired profit.

Explanation:

Target costing can be regarded as an approach that allows to know

cost of a product through its life-cycle. It enables to know the cost needed to ensure functionality as well as quality of the product with a desired profit at the end of production. It should be noted that Target costing Determines cost based upon market price and desired profit.

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Miller Stores has an overall beta of 1.38 and a cost of equity of 12.7 percent for the company overall. The firm is all-equity f
mojhsa [17]

Answer:

MILLER STORES

Ke = Rf + β(Market risk premium)

12.7 = Rf + 1.38(7.4)

12.7 = Rf + 10.212

Rf = 12.7 - 10.212

Rf = 2.488%

DIVISION A

Ke = Rf + β(Risk premium)

Ke = 2.488  + 1.52(7.4)

Ke = 2.488 + 11.248

Ke = 13.74%

Explanation:

First and foremost, we need to calculate risk-free rate using the data relating to Miller Stores. In this case, the cost of equity, beta and market risk premium of Miller Stores were provided with the exception of risk-free rate. Then, we will make risk-free rate the subject of the formula.

We also need to calculate the cost of capital of division A, which is risk-free rate plus beta multiplied by the market risk-premium.

8 0
4 years ago
How much automation used to be in restaurant in 1950s?
nikklg [1K]
I'm sorry but I don't know the answer.

I think Google would help you!
4 0
3 years ago
Scenario 3 A not-so-popular student has invited you to a sleepover at a birthday party on Friday night. You have accepted the in
photoshop1234 [79]

Explanation:

In this case, I would have stick to my commitment which I made first.

No doubt the invitation of the second party was just like a dream come true, as that was being held by a popular group and all of my friends were going there, but ethically and morally I am supposed to stick to my commitment which i have made before this invitation. So my decision will be on moral and ethical grounds. I would attend the sleepover birthday party and would hope that the other party of popular group happens again.

5 0
3 years ago
"You need to have $15,000 in five years to pay off a home equity loan. You can invest in an account that pays 5.75 percent compo
Nana76 [90]

Answer:

I have to invest $11364.

Explanation:

The formula of Compound Interest is:

A = P(1+\frac{r}{n})^{nt}

where A = Amount

P = Principle

r = rate

n = Number of Compounding per year

t = total number of year

Here, A = 15000, r = 5.75% = 0.0575, n = 4(quarterly), and t = 5.

Putting all these values in above formula:

15000 = P(1+\frac{0.0575}{4})^{4\times5}

⇒ 15000 = P(\frac{4.0575}{4})^{20}

⇒ 15000 = P(1.014)^{20}

⇒ 15000 = P(1.320)}

⇒ P = 11364

Hence, I have to invest $11364 for 5 years.

4 0
3 years ago
Explain why the government might prefer to provide incentives to private firms to do investment or research and development, rat
Neporo4naja [7]

Answer:

One explaination I have heard is that governments are organized for stability and order, which is good, but what they're not good at is creativity and efficiency. The private sector is better at innovation and speed of execuation.

Explanation:

This is only one possible answer of many. I would not consider this answer to be complete.

7 0
2 years ago
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