Answer:
$6,100
Explanation:
Data given in the question
Accumulated benefit obligation = $45,900
Projected benefit obligation = $68,100
Fair value of the plan assets = $62,000
So, by considering the above information, the benefit plan recognized is
= Projected benefit obligation - fair value of the plan assets
= $68,100 - $62,000
= $6,100
Hence, the accumulated benefit obligation is ignored
Answer: Accounting profits ignore implicit costs; economic profits consider them.
Explanation: In simple words, implicit cost refers to the cost of choosing the best alternative and loosing the profit that one could have earned by choosing the second best alternative.
Accounting profit is the revenue that one has left with after compensating for explicit cost but economic cost also takes into consideration the implicit one.
Answer:
A)VCPU = VC / UNITS
$8,190,000 / 450,000
=$18.20
B)CONTRIBUTION MARGIN PER UNIT =$ 3,510,000 / 450,000
=$7.80
C)CONTRIBUTION MARGIN RATIO = CONTRIBUTION / SALES
=>30%
D)SALES PRICE = $26
BEP IN UNITS = FC / CONTRIBUTION PER UNIT
= $2254200 / $7.8
=289,000 UNITS
BEP IN $ = FC / PV RATIO
=$2254200 / 30%
= $7,514,000
2 A) SALES REQUIRED = (FC + DESIRED PROFIT ) / PV RATIO
= $(2254200 + 296,400) / 30%
=$8,502,000 / 26
=$327,000units
Explanation:
