<span>An opportunity cost is the value or benefit that must be given up to acquire or achieve something else. In this case whatever you choose (Coke, Dr.Pepper or 7-UP) everything would be free , at zero cost. This means that the opportunity cost in this case is zero, because the drink is free.</span>
Answer:
The sales price per unit will be $6.75.
Explanation:
The break even point is where the total revenue is total cost such that profit equals zero.
The break even level of output is 5,000 units.
The fixed costs is $30,000.
The variable cost per unit is $.75.
The total variable cost is
=
= $3750
The total cost will be
= $30,000 + $3,750
= $33,750
Which is also equal to total revenue
Now,
Total revenue =
$33,750 =
Price =
Price = $6.75
Answer:
quick ratio = 4.77
Explanation:
quick ratio = (current assets - inventory) / current liabilities
current assets = $910,000 + $1,330,000 + $1,050,000 = $3,290,000
inventory = $1,050,000
current liabilities = $470,000
quick ratio = ($3,290,000 - $1,050,000) / $470,000 = 4.766 ≈ 4.77
Answer:
the annual depreciation rate is 25%
Explanation:
The computation of the depreciation rate is shown below:
= Yearly depreciation ÷ (Purchased cost - salvage value)
= ($3,000 × 12 months) ÷ ($180,000 - $36,000)
= $36,000 ÷ $144,000
= 25%
Hence, the annual depreciation rate is 25%
we simply applied the above formula
Answer:
The correct answer is: so high.
Explanation:
The price of advertisement follows the demand and supply fluctuations. When demand increases, so does the price and, when demand decreases, so does the price. Several factors influence an increase in demand. In this case, the reason why a 30-second <em>announcement costs more</em> during major events such as the World Cup relies on the massive increase in the audience during this popular event. The high costs companies incur in promotions are supposed to be offset with the revenues it generates after having millions watch their products.