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3 years ago

Which one of the following statements is TRUE?

Business

1 answer:

Nataliya [291]3 years ago

8 0

Answer:

Explanation:

Agency relationship implies that one person referred as principal allows another person agent to take decision or act on former's behalf.

In an agency relationship, the principal delegates decision-making authority to the agent.

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What protects consumers against harm from products on the market? Franchises Profit Motives Private property rights Government R

Helen [10]

That would be government regulations because the government always ensures consumers safety.

5 0

3 years ago

Aces, Inc., a manufacturer of tennis rackets, began operations this year. The company produced 6,000 rackets and sold 4,900. At

SVETLANKA909090 [29]

Answer:

$165,500

Explanation:

Given that,

Sales (4,900 × $90) = $ 441,000

Cost of goods sold (4,900 × $38) = 186,200

Gross margin = $ 254,800

Selling and administrative expenses = $75,000

Net income = $ 179,800

Production costs per tennis racket total = $38

Variable production cost = $25

Fixed production cost = $13

Units produced = 6,000

Contribution margin:

= Sales - Variable production costs

= $441,000 - (4,900 × 25)

= $441,000 - $122,500

= $318,500

Fixed costs = Fixed production costs + Selling and administrative expenses

= ($13 × 6,000) + $75,000

= $78,000 + $75,000

= $153,000

Net income under variable costing:

= Contribution margin - Fixed costs

= $318,500 - $153,000

= $165,500

8 0

2 years ago

In 1-2 sentences, explain why scarcity exists.

prohojiy [21]

Scarcity refers to a state of being in short supply.

Scarcity exists because distribution of resources is unequal. Majority of the people tend to get more than they need in preparation for future uses. They did not take into consideration that other people also need the items they have stocked up on. This results to unequal distribution of resources. Those who had first access to the goods have more than they need while those who came last have goods that is not enough to sustain their needs. They are the ones experiencing scarcity.

3 0

3 years ago

Which statement explains a proportional tax system?

-Dominant- [34]

Answer:

The tax rate is the same for all income levels.

Explanation:

A proportional tax system is a tax mechanism that applies equal rates to all income brackets. This system does not segregate based on income earned. The proportional tax system is also the flat rate system.

Since the proportional tax system applies the same rate to all taxpayers, it means that the low income, middle, and high-income earners pay tax at the same rate. The proportional tax system contrasts with other methods, such as the progressive tax system that considers income levels.

7 0

3 years ago

A firm has adopted a policy whereby it will not seek any additional external financing. Given this, what is the maximum growth r

VashaNatasha [74]

Answer:

The maximum growth rate to my calculations is 8.32%, since it is closer to option E), I´d choose E) 8.37%

Explanation:

Hi, in order to find the growth rate given all the info of the problem, we need to use the following formula.

$g=b*R$

Where:

g = growth rate

b=retention ratio

R = return on equity

Since R = Earnings / Equity, and our dividend payout ratio (equals to 1 - b)our fromula changes to:

$g=(1-Payout)*\frac{NetIncome}{Equity}$

So, everything should look like this:

$g=(1-0.25)*\frac{32,600}{294,000} =0.0832$

So, the growth rate is equal to 8.32% but this option is not available, therefore we´ll go for the closest one, that is E) 8.37%.

Best of luck.

7 0

3 years ago