Explanation:
strengths:
1. He or she enjoys all the profit
2. easy to start up
3. decision making is quick
4.he or she can vary the hours of work
weakness:
1.there is lack of finance
2. lack of specialised staff
3.the owner bears all the risk
4.there is unlimited liability
who might start a sole proprietor business
1. a person that wants to be their own boss.
2.extra income.
3.the entrepreneur might think he will make more money working for his self than others.
Answer:
Sandy Shores Corporation
J's Segment Contribution Margin is:
= $700,000.
Explanation:
a) Data and Calculations:
Sales revenue $1,300,000
Variable operating expenses 600,000
Contribution $700,000
Fixed expenses:
Traceable to J and controllable by J 275,000
Traceable to J and controllable by others 80,000
Total fixed expenses 355,000
Net operating income $345,000
b) The contribution margin is the difference between total sales revenue and the variable costs. The idea of segment contribution margin is that it covers the fixed expenses, whether controllable by the segment or not.
<span>Total revenue from oranges will fall. Notice that the question assumes everything else unchanged. This means that even though the quantity has been reduced by the frost, the price is unchanged. Thus all producers are selling fewer oranges at the same price. It logically follows that total revenue will fall.</span>
Answer: Please refer to Explanation
Explanation:
According to the Federal Deposit Insurance Corporation, the limit to the amount a person can be insured for is, $250,000 per depositor, per insured bank.
That means that Tony's account at a balance of $120,712 is covered completely as it is well below $250,000.
Their Joint account is also completely covered at $60,099.
Cynthia however does not have complete coverage as her bank account exceeds to the coverage limit by $3,629 which will not be covered.
Should be noted that should she transfer this excess to the joint account then she should be fully covered.
Answer:
Instructions are listed below.
Explanation:
Giving the following information:
Mettel Products sells 100,000 flash drives annually to industrial distributors who resell the drives to business customers for $40 each. The distributors’ margins are 25%. Mettel Products’ cost of goods sold is $10.00 each. Mettel’s total variable costs (including selling costs) are $15.00 per drive.
Selling price= 40/1.25= $32
A) Gross margin= 32 - 15= 17
%= 53%
B) Mettel is considering increasing its annual advertising spending from $75,000 to $150,000.
Break-even point= fixed costs/ contribution margin
Break-even points= 150,000/17= 8,824 units
C) Break-even points= 75,000/14= 5,357 units
