Answer:
The answer is: If he pays the extra $400 needed to complete the repairs, DeShawn will reduce his losses to $100 ($900 - $1,000). It is better than losing $200.
Explanation:
If DeShawn sells the boat now for $400 he will have lost $200. But if he decides to complete the repairs on the boat, investing the extra $400, and sells the boat for $900, he will have only lost $100.
If he pays the extra $400 needed to complete the repairs, DeShawn will reduce his losses to $100 ($900 - $1,000). It is better than losing $200.
Answer:
Analysis of the Big Bart line discontinuity
Opportunity Costs :
Sales ($201,000)
Savings :
Variable Costs $175,000
Fixed Costs ($30,700 - $19,800) $10,900
Financial Advantage / (Disadvantage) ($15,100)
Conclusion :
Do not eliminate / discontinue Big Bart line.
Explanation:
The results show that closing Big Bart line results in a contribution towards fixed cost being lost to the amount of $15,100. Therefore leaving the entire company in a worse off position.
The correct answer is "<span>The APR on the unpaid balance".
Jerome should give an importance to the APR on his unpaid balance, since he just applied for two more credit card, while he already has three. If he plans to apply for two more, he should give attention to the unpaid balances, because the APR may increase due to his missed payments, which will also result into an increase of payments of his credit cards.</span>
<span>Internal financing is when a firm uses its profits as
a source of capital for a new investment. Instead of the firm obtaining financing
from the outside, the firm can use its profits to acquire new investment. This
can be considered less expensive than external financing because no transactions
costs will be incurred. </span>