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cestrela7 [59]
3 years ago
10

Draco Company charges a selling price of $25 per unit for its single product, incurs variable costs of $17 per unit, and total f

ixed costs of $140,000. What sales volume is necessary to earn a net income after tax of $36,000, assuming a tax rate of 25%?
a. 17,500
b. 21,500
c. 23,500
d. 32,000
e. None of the above
Business
1 answer:
larisa86 [58]3 years ago
7 0

Answer:

c. 23,500

Explanation:

The formula for determining target sales volume is shown below:

target sales volume=fixed costs+ target net income before tax/contribution margin per unit

fixed costs=$140,000

target net income before tax=$36,000/(1-25%)=$48000

contribution margin per unit=selling price-variable cost=$25-$17=$8

target sales volume=($140,000+$48000 )/$8

target sales volume=$188,000/$8

target sales volume=23500

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A project that cost $80000 with a useful life of 5 years is being considered. Straight-line depreciation is being used and salva
mina [271]

Answer:

8.13%

Explanation:

Annual return = [ (Total FV/Initial investment)^(1/n) ] -1

n = useful life of the project

Total Future Value = (22650*5) +5000

Total FV = $118,250

Initial investment = $80,000

Annual return = [ (118,250/80,000)^(1/5) ] -1

r = [ (1.478125^(1/5)] -1

r = 1.0813 - 1

r = 0.0813 or 8.13%

6 0
3 years ago
Identify whether each of the following examples belongs in M1 or M2. If an example belongs in both, be sure to check both boxes.
marishachu [46]

Answer:

  • Carlos has $2,500 in a savings account. - M2
  • Deborah has $9,000 in a six-month certificate of deposit (CD). - M2
  • Van has a roll of quarters that he just withdrew from the bank to do laundry. - M1, M2

Explanation:

M1 and M2 are symbols that represent, in economics, the means of payment. M1 refers to a set of banknotes and coins that are held by the public and are deposited in a banking system, which holds them for a certain time, referring to a monetary base, for example: Carlos has $ 2,500 in a savings account, and, Van has a roll of quarters that he just withrew from the bank to do laundry.

M2 on the other hand, houses the concept shown in M1, but it also houses a concept related to the total deposits made in a bank, which are within a time limit. M2 includes the issuance of bank certificates and government bonds. Some examples are: Deborah has $ 9,000 in a six-month certificate of deposit (CD), and, Van has a roll of quarters that he just withrew from the bank to do laundry.

3 0
3 years ago
What information is necessary to calculate the after-tax return on investment (ROI)?
Alika [10]

Answer:

this one's a head scratcher. I believe it's a or b. hope that helps a little :)

7 0
3 years ago
Help please
RSB [31]
Everything looks correct
4 0
3 years ago
Read 2 more answers
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Volgvan

Under a matrix structure, there are two chains of command (functional and project), and project participants report simultaneously to both functional and project managers.

<h3>What is the functional approach?</h3>

The standard functional analysis is expanded in this format and is employed for the first time in the concept study of the vehicle. By using the value matrix, the cost/benefit matrix, the repair time matrix, and the supportability index matrix, the matrix form is utilized to analyze the system's functionality.

An earlier stage of concept vehicle definition allowed the designer-analyst to quickly and easily define the relationship between the choice structure and performance, costs and ranges of the importance of installed components, reliability and cost of repair time, logistic supportability, etc. The extended functional analysis could be the way of defining critical structure that does not impediment the project specification of the vehicle.

To know more about the Functional approach, visit: brainly.com/question/14897152

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8 0
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