1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
lianna [129]
3 years ago
13

A jacket potato vendor charges $3.92 per potato sold. The variable cost of each potato served is $1.21. The stall has a fixed co

st of $500 per week. What is the percentage decrease in unit contribution resulting from the drop in price to $3.00?
Business
1 answer:
BigorU [14]3 years ago
5 0

Answer:

% unit contribution margin= 33.95% drop

Explanation:

Giving the following information:

Selling price= $3.92

Unitary variable cost= $1.21

New selling price= $3

<u>First, we need to calculate both unitary contribution margin:</u>

Current contribution margin= 3.92 - 1.21= $2.71

New contribution margin= 3 - 1.21= $1.79

<u>Now, the percentage change:</u>

% unit contribution margin= [ 1- (1.79/2.71)]*100

% unit contribution margin= 33.95%

You might be interested in
The following information to perform the calculations below (using the indirect method).
Liono4ka [1.6K]

Answer: -$556,000

Explanation:

Based on the information given in the question, the the amount of cash used by investing activities would be calculated as:

Purchase of long-term assets -612,000

Add: Sale of long-term investment at cost 56,000

The amount of cash used by investing activities would now be:

= -$612,000 + $56,000

= -$556,000

7 0
3 years ago
Anita is an entrepreneur who is interested in starting a hair salon. Anita consulted her friend Ali, who is a businessman, to ge
Varvara68 [4.7K]

ANSWER 1. Capital

EXPLANATION: Calculating capital is necessary for a business. It is the basic duty of an entrepreneur to calculate capital before starting any business to check the financial capacity of the entrepreneur. Calculating capital also helps to estimate if any outside finance is necessary to start the business.

ANSWER 2: Set of Services

EXPLANATION: Choosing and categorizing set of services is necessary before starting any business. This will help in acquiring expert and trained set of labors to carry out the work. The clients will also come to know of the services that are available in the business. Expert and trained set of labors are difficult to find in any market.

ANSWER 3: Total Cost of Ownership

EXPLANATION: Total cost of ownership is a financial estimate intended to help buyers and owners determine the direct and indirect costs of a product or system. Each and every piece of equipment that Anita buys is added to the cost of the ownership of the business.

4 0
3 years ago
Read 2 more answers
_____ power is a function of the amount of knowledge one possesses relative to the rest of the members of a group
shutvik [7]
Expert power is a function of the amount of knowledge one possesses relative to the rest of the members of a group.
7 0
3 years ago
According to classical economics, a decrease in aggregate demand causes the price level to _____________ in the long run. On the
shtirl [24]

Answer: Decrease, Increase, Price flexibility.

Explanation: According to classical economics, a decrease in aggregate demand causes the price level to DECREASE in the long run. On the other hand, an increase in aggregate demand causes the price level to INCREASE in the long run. These changes occur because of PRICE FLEXIBILITY.

In a flexible market the forces of demand and supply determines the prices of commodities in the market.

As the demand Falls the prices also fall as the demand rises the prices of commodities also rises.

3 0
3 years ago
What is an example of an interest leading to a career choice
kramer

Answer:

Making music leading to becoming a musician, basketball leading to wanting to be in the nba, etc.

Explanation:

8 0
3 years ago
Other questions:
  • Refer to lynn bernerd, inc. initially, the managers believed that ____ would be the best option for entering the foreign market.
    8·1 answer
  • Bobbi and Stuart are partners. The partnership capital of Bobbi is $35,300 and that of Stuart is $77,700. Bobbi sells his intere
    13·1 answer
  • At the PR firm where Gerald works, everyone considers him to be very good with his work and depends heavily on his knowledge to
    11·2 answers
  • Cooley Landscaping Company needs to borrow ​$21 comma 000for a new​ front-end dirt loader. The bank is willing to loan the funds
    15·1 answer
  • A company had common stock with a total par value of $18,000,000 and fair value of $62,000,000; and 7% preferred stock with a to
    9·1 answer
  • Moped, Inc. purchased machinery at a cost of $44,000 on January 1, 2017. The expected useful life is 5 years and the asset is ex
    8·1 answer
  • You are considering the acquisition of XYZ Enterprises. You have made the following projections for XYZ for years 1-5 ($ million
    7·1 answer
  • Assume that you are the president of your own company and paid a year end bonus according to the amount of net income earned dur
    5·1 answer
  • What can a borrower do to take control of their debt? O A. The borrower can apply for more credit cards. O B. The borrower can c
    10·1 answer
  • What qualities do you personally value in a future apartment? A few options to consider (among others):
    12·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!