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aksik [14]
3 years ago
14

Accents Associates sells only one product, with a current selling price of $150 per unit. Variable costs are 30% of this selling

price, and fixed costs are $19,600 per month. Management has decided to reduce the selling price to $145 per unit in an effort to increase sales. Assume that the cost of the product and fixed operating expenses are not changed by this reduction in selling price. At the current selling price of $150 per unit, the dollar volume of sales per month necessary for Accents to break-even is:
Business
1 answer:
Ksju [112]3 years ago
8 0

Answer:

$65,333

Explanation:

As we know,

Sales price = Variable cost + Contribution cost

Sales price = Variable cost ratio + Contribution margin ratio

100% = 30% + Contribution

Contribution = 100% - 30%

Contribution = 70%

Fixed cost = $19,600

Break even sales = Fixed cost / Contribution margin ratio

Break even sales = $19,600 / 30%

Break even sales = $19,600 / 0.3

Break even sales = $65,333.

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Which of the following is an advantage of the corporate form of business when compared to sole proprietorships and partnerships?
Rudiy27

Answer:

D. Limited Partnership

Explanation:

Sole proprietorship is business owned , run & managed by single owner. Partnership is a business owned , run & managed by small group of people - deciding to share its profits .

Entrepreneurs in these have Unlimited Liability on personal assets, in case business assets are insufficient to settle business liabilities .

Corporation is a separate legal entity, distinct from its huge group of owners , guided by a board of directors. In case of any claim / sue case : it is against corporate entity & not the people, so they don't have any unlimited liability risk on personal assets to fulfil company's claims .

5 0
3 years ago
What does a person need if he or she is not able to pay for a planned purchase in full with a check or cash? A. a credit card B.
Gennadij [26K]

Answer:

C. a long-term loan from a bank

Explanation:

A loan or credit facility is suitable when a person is unable to pay in cash or by check. Lenders such as banks and credit unions offer credit facilities to their customers. These institutions charge  interest on loans advanced.

When planning for a capital intensive purchase, a long term bank loan is suitable. Banks can extend credit facilities for huge amounts of money. The monthly repayments and interest rates for a long-term loan are usually low, making it affordable to many borrowers.

8 0
3 years ago
Clay’s Forging at Canal Fulton wants to determine its inventory management performance during its past year of operations. Refer
Tatiana [17]

Answer:

days on inventory 57 + collection cycle 163- payment cycle 63

CCCT = 157 days

Explanation:

The cash-to-cash measures the times from the company paid his good from the time it collect from the customer:

days inventory outstanding + collection cycle - payment cycle

<u>days inventory outstanding:</u>

\frac{365}{Inventory TO} = $Days on Inventory

Where:

\frac{COGS}{Average Inventory} = $Inventory Turnover

​where:

$$Average Inventory=(Beginning Inventory + Ending Inventory)/2

COGS                         $ 1,790,000

Beginning Inventory: $    273,000

Ending Inventory:      $   290,000

Average Inventory:   $     281,500

\frac{1790000}{281500} = $Inventory Turnover

Inventory TO 6.358792185

\frac{365}{6.35879218472469} = $Days on Inventory

Days on Inventory 57

<u>Collection cycle:</u>

\frac{Sales}{Average AP} = $AP Turnover

​where:

$$Average AP=(Beginning AP+ Ending AP)/2

Purchases:      1,575,000

Beginning AP:   227,500

Ending AP:         316,200

Average AP:      271,850

\frac{1575000}{271850} = $AP Turnover

\frac{365}{AP TO} = $payment cycle

AP TO 5.793636196

payment cycle 63

<u>Collection cycle</u>

\frac{Sales}{Average AR} = $AR Turnover

Sales 102,000

Average AR 45,500

\frac{102000}{45500} = $AR Turnover

\frac{365}{AR TO} = $collection cycle

AR TO 2.241758242

\frac{365}{2.24175824175824} = $collection cycle

collection cycle 163

5 0
3 years ago
What is the fau and emergency management department’s campaign slogan?.
Aleks04 [339]

FAU and emergency management department’s campaign slogan is “FAU ALERT” or “ATTENTION FAU”. Read below about the usage of the slogan.

<h3>How does FAU use their slogan?</h3>

“ATTENTION FAU” is only utilised in messaging if an incident has the potential to suspend normal operations or affect life safety and/or destruction of University resources.

Therefore, the slogan is as provided above.

learn more about FAU: brainly.com/question/16054173

#SPJ1

3 0
2 years ago
In corporations, it is easy to transfer ownership by selling stock.<br> Select one: true or false
Serhud [2]

Answer:

the question is false

Explanation:

you can't sell stock for ownership

8 0
2 years ago
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