A pure-monoply means that a company does not have to compete with other producers within the market. Since they aren't competing with a good or service, they aren't competing with each others customers either. When a company does not have to compete on price/customers they may end up being greedy and have market failure.
Answer:
48.00%
Explanation:
For computing the debt to capital ratio, first we have to determine the equity value and debt value which is shown below:
Equity value = Number of outstanding shares × stock price per share
= 5.2 million shares × $12
= $62.4 million
We know,
Total capital = Debt + equity
$120 million = Debt + $62.4 million
So, the debt would be
= $120 million - $62.4 million
= $57.6 million
Now the debt to capital ratio would be
= $57.6 million ÷ $120 million
= 48.00%
Answer:
$450,000
Explanation:
Given that,
Direct Labor = $200,000;
Direct Materials = $150,000;
Manufacturing Overhead Costs = $250,000
Therefore, the total amount of conversion cost is the sum total of direct labor cost and manufacturing overhead cost.
Total amount of BG, Inc's conversion costs:
= Direct Labor cost + Manufacturing Overhead Costs
= $200,000 + $250,000
= $450,000
