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3 years ago

Managers make assumptions in CVP analysis. These assumptions include:__________

Business

1 answer:

77julia77 [94]3 years ago

5 0

Answer:

constant variable cost per unit.

constant total fixed cost

constant selling price per unit

Explanation:

Cost-volume-profit (CVP) analysis is a way to found out if the variable and fixed cost should be changed so how it effects the profit of the firm. Also company could applied cost volume profit analysis in order to see how much units they required to sell in order to have break even or reach to the specific minimum profit margin

So in this, the total fixed cost, selling price per unit, and the variable cost per unit should be constant

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Bonita Industries purchased a depreciable asset for $174500. The estimated salvage value is $14300, and the estimated useful lif

jok3333 [9.3K]

Answer:

Annual depreciation= $16,020

Explanation:

Giving the following information:

Purchase price= $174,500

Salvage value= $14,300

Useful life= 10 years

To calculate the depreciable base, we need to use the following formula:

Depreciable base= purchase price - salvage value

Depreciable base= 174,500 - 14,300

Depreciable base= $160,200

Now, we can determine the annual depreciation:

Annual depreciation= depreciable base /estimated life (years)

Annual depreciation= 160,200 / 10

Annual depreciation= $16,020

6 0

3 years ago

An increase in the cost of producing a good or service will cause a leftward shift of the supply curve. True False

TEA [102]

Answer:

True

Explanation:

An increase in the cost of production would cause some producers to stop production, supply would fall and the supply curve would shift to the left.

I hope my answer helps you

4 0

3 years ago

A toy manufacturer estimates the demand for a game to be 2000 per year. Each game costs $3 to manufacture, plus setup costs of $

ASHA 777 [7]

Answer:

See below

Explanation:

We will compute the above using the EOQ

EOQ = √ 2 × D × S / H

EOQ = √ 2 × 2,000 × 500 / 2 × 3

EOQ = 1,000

1,000 units of toys should be manufactured at a time

Production runs = 2,000 / 1,000

Production runs = 2

8 0

3 years ago

If the midlands pencil corporation has issued several different debt securities, an investor would expect the lowest income stre

Dafna1 [17]

If the midlands pencil corporation has issued several different debt securities, an investor would expect the lowest income stream from convertible debentures.

Convertible bonds have many positive attributes for investors, but the main drawback is that investors accept lower interest rates in exchange for these benefits.

Convertible debentures are fixed rate debentures that pay interest but can be converted into a specified number of ordinary shares or shares. Conversion of a bond into equity may occur at certain times during the life of the bond and is generally at the discretion of the bondholder.

Due to this logic, a convertible bond allows the issuer to indirectly sell its common stock at a price higher than its current price. From a buyer's perspective, convertible bonds are attractive because they offer the opportunity to capture the potentially high yields associated with equities, but also the security of bonds.

Learn more about bonds here brainly.com/question/9817093

#SPJ4

3 0

2 years ago

Fiscal policy refers to:_____________.

solmaris [256]

Answer:

c. Changes in government expenditures and taxation to achieve particular economic goals.

Explanation:

Fiscal policy is the government tool by which the government alters its spending and the taxation to influence the aggregate demand in the economy.

An expansionary fiscal policy involves means to increase aggregate demand and can include increased government spending and lower taxes. A contractionary monetary policy is used when the government aims to reduce the aggregate demand and thus can either reduce its spending or raise taxes.

Money supply is influenced by monetary policy and other options are wrong and irrelevant to the fiscal policy definition.

Hope that helps.

7 0

4 years ago