The money lost by not working is called

Clemeson Corporation, which has only one product, has provided the following data concerning its most recent month of operations

blsea [12.9K]

Answer:

$149,600

Explanation:

Variable cost per unit = 36+57+3+5 =

Variable cost per unit = $101

Contribution margin per unit = 145 - 101

Contribution margin per unit = $44 per unit

Total contribution margin = 3,400 * $44

Total contribution margin = $149,600

8 0

4 years ago

Each of two stocks, A and B, are expected to pay a dividend of $5 in the upcoming year. The expected growth rate of dividends is

Rama09 [41]

Answer:

The intrinsic value of Stock A is 500

Explanation:

According to the DDM method the formula for calculating the intrinsic value of a stock is

Upcoming Dividend/Required rate of return - Growth rate of stock.

Upcoming Dividend of Stock A= 5

Required rate of return on Stock A= 11% or 0.11

Growth rate on stock A= 10% or 0.10

Intrinsic value of stock A=

5/(0.11-0.10)=5/0.01=500

The intrinsic value of Stock A is 500

4 0

4 years ago

Do the Math 3-3 Ratio Analyses Use the following balance sheet and cash flow statement information to answer the questions below

LUCKY_DIMON [66]

Answer:

Liquidity Ratio = 3.33

Asset to Debt ratio = 1.94

Debt to Income ratio = 95.57%

Debt Payments to disposable income = 36.76%

Investment assets to total assets = 23.51%

Explanation:

Liquidity Ratio = [ Liquid Assets ] ÷ [ Short Term Debt ]

= $14,000 ÷ $4,200

= 3.33

Asset to Debt ratio = [ Total Assets ] ÷ [ Total debt ]

= $319,000 ÷ $164,200

= 1.94

Debt to Income ratio = [ Total Debt ] ÷ [ (Gross Income + Disposable income -expenses) ]

= $164,000 ÷ [ ($13,000 + $6800 - $5500) × 12 ]

= 0.9557 or 0.9557 × 100% = 95.57%

Debt Payments to disposable income

= [ Long term debt payment + short term debt payment ] ÷ [ Disposable income ]

= [ $2,200 + $300 ] ÷ $6,800

= 0.3676 = 36.76%

Investment assets to total assets

= $75,000 ÷ $319,000

= 0.2351 = 23.51%

4 0

3 years ago

Cash collected from customers during the year ended December 31, 2019 amounted to $314,000, and accounts receivable decreased by

noname [10]

Solution:

Given,

The sums of consumer cash earned during the year ending December 31, 2019 were $314,000 and accounts receivable were lowered by $42,000.

Sales on account for the year ended December 31, 2019 :

Credit sales = Cash collected + Increase / ( Decrease ) of accounts receivable

Credit sales = $ 314,000 - $ 42,000

Credit sales = $ 272,000

6 0

4 years ago

Shelhorse Corporation produces and sells a single product. Data concerning that product appear below:

zloy xaker [14]

Answer:

See explanation section.

Explanation:

Requirement 1

At first we have to find the original net income.

Shelhorse Corporation

Contribution format income statement

For the year ended, December 31, 20YY

Sales Revenue (6,100 × $260) = $1,586,000

Less: Variable expense (6,100 × $91) = $555,100

Contribution Margin = $1,030,900

Less: Fixed Expense $366,000

Net Operating Income = $664,900

Requirement 2

As the marketing manager believes that a $23,000 increase in the monthly advertising budget would result in a 150 unit increase in monthly sales, the new sales volume = 6,100 + 150 = 6,250 and new fixed expense = $366,000 + $23,000 = $389,000

Shelhorse Corporation

Contribution format income statement

For the year ended, December 31, 20YY

Sales Revenue (6,250 × $260) = $1,625,000

Less: Variable expense (6,250 × $91) = $568,750

Contribution Margin = $1,056,250

Less: Fixed Expense = $389,000

Net Operating Income = $667,250

The effect on the company's monthly net operating income of this change = $667,250 - $664,900 = $2,350

5 0

3 years ago