Answer
The answer and procedures of the exercise are attached in the following archives.
Step-by-step explanation:
You will find the procedures, formulas or necessary explanations in the archive attached below. If you have any question ask and I will aclare your doubts kindly.
You would need Disability insurance to protect one's income in the case that he or she becomes disabled.
So circumstances could include car crashes natraul events
Answer:
The DRS's EBIT will be $205,920.
Explanation:
Degree of operating leverage measures how EBIT will change with change in sales
Degree of operating leverage (DOL) = % change in EBIT / % change in sales
In our case, DOL = 3.2x
Sales forecast = $300,000
Actual sales = $313,500
% change in sales = (Actual sales - forecast )/ forecast = (313,500 - 300,000) / 300,000
= 4.5%
EBIT forecast = $180,000
Now putting everything in DOL formula
3.2 = % change in EBIT / % change in sales = % change in EBIT / 4.5
% change in EBIT = 3.2 * 4.5
= 14.4%
Actual EBIT = Forecast *(1 + % change)
= 180,000*(1 + 0.014)
= $205,920
Therefore, The DRS's EBIT will be $205,920.
Answer:
Pure or perfect competition is a theoretical market structure in which the following criteria are met: All firms sell an identical product (the product is a "commodity" or "homogeneous"). All firms are price takers (they cannot influence the market price of their product). Market share has no influence on prices.
Answer:
Option (B) is correct.
Explanation:
If there is an increase in the income of the consumer then as a result there is a parallel shift in the budget line. This increase in income will increase the real purchasing power of the consumers and hence, this would increase the quantity of two goods consumed in an equal proportion.
Other factors remains the same, an increase in the income level of the consumer will increase the consumption of both the goods because the prices of both the goods are constant.
