Answer:
Green Lumber
Explanation:
For computing the increase in profit, first, we have to compute the contribution margin which is shown below:
Contribution margin = Sales Value + Additional Sales Value - Variable Costs
So,
For Green Lumber = $159,600 + $24,000 - $178,000 = $5,600
For Rough Lumber = $124,000 + $28,200 - $173,600 = ($21,400)
For Sawdust = $102,000 + $19,600 - $130,000 = (8,400)
By this computation,we can interpret that Green lumber should be processed further as it has positive contribution margin and the other two would not be as it have negative contribution margin
Answer:
$40.6344 per share
Explanation:2.
Complete question <em>"Huxley has $5 million in short-term investments and $7 million in debt and has 1 million shares outstanding. What is the best estimate of the current intrinsic stock price?"</em>
<u>Calculation of the value of firm is as below</u>
Yr Cash flow Growth rate New c.flow Pv at 12% Pv of cash flows
1 1.75 25% 2.1875 0.893 1.9534
2 2.1875 25% 2.7344 0.797 2.1793
TCM 48.3083 0.797 <u>38.5017</u>
Value of firm <u>42.6344</u>
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Note: TCM = Terminal cash floe = 2.7344*(1.06) / 12% - 6% = 48.3083 million
Now, Market value of firm = 42.6344 + 5 - 7 = 40.6344 million
Market price per share = $40.6344 million/1 million = $40.6344 per share
Answer:
The correct answer is letter "A": Product line pricing.
Explanation:
Product line pricing refers to the separation of prices of goods according to their benefits and quality. The differences between one and another make prices go up ar down. More often, the higher the price the greater the benefits the product gives to consumers.
Therefore, <em>Yoko is talking about product line pricing by describing how the lowest-priced tickets of the concert are for least-desirable seats while the highest-priced tickets are for the most-desirable seats.</em>
Answer:
Gross profit= $450,000
Explanation:
Giving the following information:
December 31:
Finished goods inventory, January 1 $ 30,000
Finished goods inventory, December 31 90,000
The cost of goods manufactured during the year amounted to $1,260,000
Annual sales were $1,650,000.
Gross profit= Sales - cost of goods sold
cost of goods sold= beginning finished inventory + cost of goods manufactured - ending finished inventory= 30000 + 1260000 - 90000= 1,200,000
Gross profit= 1650000 - 1200000 = $450,000
